China's State Iron Ore Buyer Signs Deal With South Africa's Kumba; BHP Accepts Yuan Pricing

According to Ecoiran, the China Mineral Resources Group (CMRG), established in 2022 to consolidate China's iron ore buying power, now represents more than 50 percent of China's steelmaking capacity. The group has recently signed a contract with Kumba Iron Ore, the South African unit of Anglo American, running from April 1, 2026 through the end of March 2027, and estimated to cover 8 to 10 million tons of iron ore; contract pricing was not disclosed. Kumba sold about 37 million tons of iron ore in 2025.

In a separate development, BHP, after lengthy negotiations, agreed to yuan denominated pricing for part of its contracts with CMRG, a shift that, if it spreads to future contracts, could gradually reduce the global iron ore market's traditional reliance on the dollar and Singapore Exchange dollar denominated indexes.