Australia’s BHP Group has begun redirecting shipments of its Jimblebar Blend Fines (JMBF) iron ore to Malaysia and Vietnam after China imposed a ban on domestic steel mills and traders purchasing this product amid stalled talks over new supply contracts, according to Reuters.

The ban, enforced by China Mineral Resources Group since September 2025, has caused JMBF inventories at major Chinese ports to surge to around 8.1 million tonnes as of mid-January, while daily global exports of the grade have fallen by about 74% year-on-year.

In response, BHP has adjusted its distribution strategy, sending roughly 95,000 tons of JMBF to Malaysia and about 75,000 tons to Vietnam, although these volumes remain small compared to the company’s annual output of more than 60 million tons. 

Market sources say BHP is also offering larger discounts to stimulate sales while continuing annual contract negotiations with Chinese buyers.