Anglo American Signs Iron Ore Supply Deal With China

Anglo American Plc signed a yearlong supply agreement with China Mineral Resources Group Co. (CMRG), a state-backed buyer representing more than half of China's steelmakers. The contract, executed through Anglo's South African subsidiary Kumba Iron Ore Ltd., runs from April 1, 2026, to March 31, 2027.

The agreement provides iron ore to CMRG member mills but excludes output from the company's Minas-Rio project in Brazil. Ebrahim Dadoo, Anglo's global head of sales and trading, stated that the company has had constructive engagements with CMRG. While Anglo sells approximately 54% of its total output to China, Dadoo noted that the volumes under this specific contract are relatively small compared to the overall portfolio. Bloomberg estimates the volume of Kumba iron ore supplied under the deal at 8 to 10 million tons.

This deal follows a similar agreement reached by BHP Group Ltd. In contrast, Fortescue Ltd. remains in tense negotiations with the state buyer.