BHP Australia president Slattery says Australia can no longer take Japan ‘for granted’ amid China concerns

BHP’s Australia boss Geraldine Slattery said the country’s business sector can no longer take its relationship with Japan for granted amid a supposed iron ore trade tiff between her company and China. Ms Slattery fronted the Australia Japan Business Co-operation Committee conference in Perth on Monday, where she touted the strong links between BHP and Japan — the mining giant’s second largest export destination after China. “That relationship (with Japan), whether it’s market, whether it’s our views of commodity, whether it’s our views on decarbonisation — it provides a balance, it provides resilience,” Ms Slattery said. “That long-term relationship (comes) at a time when, as has been spoken about from so many dimensions this morning, there’s so much uncertainty and turbulence in the world. “So whilst, you know maybe at previous conferences that relationship would have been taken for granted, today it has unique and acknowledged value.” Her comments comes less than a week after reports emerged that that Beijing’s state-run iron ore buyer — China Mineral Resources Group — had asked domestic traders to temporarily stop purchasing any WA cargoes from BHP. The ban apparently stems from a dispute over how much the CMRG is willing to pay for a sought-after iron ore product from BHP’s Jimblebar mine, which lies 40km east of Newman. Prime Minister Anthony Albanese and Premier Roger Cook have been roped into the stand-off given iron ore sales to China is Australia’s, and WA’s, largest stream of export income. “Well, I am concerned about (the report),” Mr Albanese said on Wednesday. “I want to see Australian iron ore be able to be exported into China without hindrance. That is important. It makes a major contribution to China’s economy, but also to Australia’s.” BHP is the second-largest exporter of iron ore in Australia, with 290mt shipped by the company during the 2025 financial year. BHP has declined to publicly weigh in on the purported dispute other than to say it does not comment on “commercial negotiations”. Ms Slattery did not mention the supposed ban, or China in general, during her talk at the AJBCC conference. China, the world’s largest iron ore consumer, buys about 75 per cent of global seaborne iron ore and established CMRG three years ago to buy ore on behalf of its steelmakers in a bid to gain more leverage as a monopolistic buyer by keeping a lid on prices. The Middle Kingdom has grown more willing to leverage its clout in trade during recent years, and has previously introduced since-lifted bans on Australian wine and beef. Last month, Japanese corporate giants Mitsui and Itochu acquired a combined 15 per cent stake in BHP’s Ministers North iron ore development in the Pilbara. This investment mirrored the existing 15 per cent stake the two Japanese companies collectively hold in BHP’s massive WA iron ore division. Ms Slattery is heavily rumoured to be in next line as BHP’s global boss — a coveted position currently held by Canadian Mike Henry. Mr Henry is tipped to step down from the role during the middle of next year.