China said to ease ban on BHP's Jimblebar iron ore grade

China’s state-owned iron ore procurement entity, the China Mineral Resources Group (CMRG), has indicated a limited easing of restrictions on BHP’s Jimblebar iron ore grade, according to industry sources. While the ban on Jimblebar shipments, initially imposed in September 2025, remains in place, CMRG has permitted steel mills and traders to continue utilizing existing stockpiles of the product stored in ports. This adjustment comes amid broader, ongoing restrictions targeting other BHP iron ore grades, including Newman fines, which face a fresh ban starting March 19, 2026.

The easing of Jimblebar restrictions appears to be a tactical move rather than a full reversal of China’s pressure on BHP. Over the past six months, Beijing has systematically tightened controls on BHP’s cargo shipments as part of contract negotiations for 2026 pricing terms. In November 2025, CMRG extended bans to include Jinbao products, and recent directives have further curtailed purchases of Newman fines, lump ore, and Mac fines. Despite these measures, sources confirm that existing port inventories of Jimblebar remain acceptable for processing, providing temporary relief to some buyers.

BHP has sought to mitigate the impact of these restrictions by redirecting shipments to alternative markets, including Malaysia and Vietnam. The company reported record iron ore production in the second half of 2025 but faces ongoing pricing pressures due to unresolved contract disputes with Chinese buyers. CMRG, established in 2022 to consolidate procurement power, continues to leverage its influence to secure favorable terms from major suppliers.

This evolving situation underscores the delicate balance between China’s strategic procurement goals and global miners’ efforts to diversify markets amid prolonged negotiations.