China's steel futures contracts were launched at 9 a.m. Friday on the Shanghai Futures Exchange (SHFE), with benchmark price for major contract of rebar RB909 set at 3,399 yuan (499.85 U.S. dollars) per tonne and that of steel wire WR909 at 3,199 yuan per tonne.

September contract for rebar opened at 3,621 yuan, up 222 yuan, or 6.5 percent from the benchmark price, and that of steel wire at 3,459 yuan, up 260 yuan, or 8.1 percent.

Both contracts dipped lower to 3,585 yuan and 3,411 yuan respectively by 10 a.m.

Among other steel products, rebar and steel wire were in large demand from the industrialization and urbanization process, and thus had a sound and stable base of market trading, an SHFE official told Xinhua.

With the large production and trading volume, to choose these two types of steel products as the underlying commodities of the new futures contracts could avoid market manipulation of prices, said the official.

Permission to list steel futures contracts was given by China Securities Regulatory Commission in February.