Goldman Sachs Group Inc's metals warehousing unit is exploring its first foray into China, and privately held C. Steinweg has expanded capacity there, as a financing scandal in the ?Qingdao Port fuels a scramble for market share, ?Reuters reported on Tuesday citing an unnamed sources.

Detroit-based Metro International Trade Services, a warehousing company that Goldman bought in 2010, is looking at setting up shop in Shanghai and other bonded locations in the country, a source familiar with the matter told Reuters.

"Western banks and other types of financiers want an alternative to what's already there," the source said.