China is considering allowing foreign investors to trade domestic crude oil and iron ore futures as part of financial reforms, Fang Xinghai, vice chairman of the China Securities Regulatory Commission, said yesterday in Shanghai.

“The commission is working actively on a plan to expand the participation of foreign investors in China’s financial futures markets,” Fang told a derivatives forum, adding that the CSRC is studying tax policies for futures trading.

“The commission is also considering crude oil and iron ore futures as a pilot to lure overseas investors,” said Fang.

Shanghai is likely to launch crude oil futures this year, Fang said last month. The move seeks to draw international buyers and lets the country maximize its global pricing power for the commodity.

The regulators are also studying new futures such as pulp, hog, jujube and apple, and will allow commercial banks to participate in the treasury futures market, Fang added.

China is the largest consumer of several commodities, and has long sought to be a price maker globally.