In mid-June, the Shenzhen Natural Gas Trading Center, which has been in preparation for many years, was established and is expected to become the third natural gas trading center in China. The far-reaching significance of applying for the establishment of a Shenzhen trading center is to promote the formation of a natural gas trading hub in Guangdong. Compared with other trading centers, Shenzhen Trading Center is more motivated to set up delivery sites in Guangdong, and on this basis, develop natural gas spot and futures products. In addition, if Guangdong can promote the reform of the natural gas market, the prospects for the establishment of the Shenzhen Natural Gas Trading Center are even more impressive. Guangdong has the hardware conditions to form a virtual trading hub. Of course, if the prospects are to be transformed into reality, the Shenzhen Natural Gas Trading Center still needs the cooperation of the relevant departments of Guangdong Province and even the nation. In order for the natural gas hub to have the function of price discovery, it is necessary to establish a physical delivery site and to create a competitive market environment, which requires comprehensive consideration at the provincial and national levels. Since there is no precedent in China, Guangdong still needs to make up its mind to try first.
