China's Diamond Exchange Sparkles on First Day

China's Diamond Exchange Sparkles on First Day

Eleven diamonds were sold at the opening of the Shanghai Diamond Exchange (SDE) on Friday.

The diamonds had been imported by Shanghai Lujiazui Development (Group) Company Ltd. from Hong Kong-based Brilliheng Holdings Company Ltd. for 18,000 U.S. dollars.

Yesterday also saw a number of export deals completed at the exchange.

Today's China Daily reported that four Hong Kong companies hold 25 percent of the eight-million -U.S.-dollar exchange, while seven companies from the Chinese mainland have the other 75 percent. China National Arts and Crafts Import and Export Corp. is the largest shareholder.

At the moment, more than 40 companies and foreign exchange centers have applied for membership.

According to the State's regulations, diamonds sent to the exchange directly from any Chinese port will not face import duty. And no trading within the exchange will be taxed.

Domestic diamonds entering the SDE to be traded will also enjoy tax refunds.