China Resumes BHP Iron Ore Purchases Amid Improved Relations

China has lifted its bans on purchasing key steelmaking materials from BHP Group, following a diplomatic visit from the mining company's executives. The end of the months-long standoff allows Chinese steel mills to resume buying BHP's seaborne cargoes, marking a potential strategic shift for both parties.

China has lifted its restrictions on purchasing essential steelmaking materials from mining giant BHP Group, sources informed Reuters on Tuesday. This move follows a series of meetings between top executives and its biggest customer, ending a prolonged dispute.

State iron ore buyer China Mineral Resources Group (CMRG) recently informed domestic steel mills they could resume buying BHP's seaborne cargoes after over six months of restrictions. Two vessels carrying BHP's Jimblebar fines are currently headed to China, according to Kpler's ship tracking data.

The resolution of this standoff may signal a strategic shift for BHP, although analysts say it is too early to determine. New CEO Brandon Craig highlighted his meetings with China's Baowu Steel Group, which focused on industry challenges and strategic cooperation.

(With inputs from agencies.)