China Mineral Resources Group (CMRG) has advised several steelmakers to temporarily suspend purchases of Rio Tinto’s Pilbara Blend iron ore as contract negotiations enter a critical stage.

The state-owned purchasing agency has asked companies not to discuss new purchases with Rio Tinto for the time being.

CMRG was established in 2022 to consolidate China’s iron ore procurement and strengthen its influence in raw material negotiations. China remains a major market for Rio Tinto, accounting for nearly 60 percent of the company’s revenue last year. Similar negotiations with other major miners have also faced delays, with BHP previously reaching a one-year agreement after prolonged talks.

Fortescue is likewise facing sales restrictions in China while negotiating terms with CMRG.