China's state iron ore buyer has asked steelmakers and traders to pause purchases of US dollar-denominated seaborne iron ore cargoes from BHP during its annual price negotiations, Bloomberg reports, citing people familiar with the matter.

China, the world's largest iron ore consumer, buys about 75 per cent of global seaborne iron ore and set up China Mineral Resources Group (CMRG) three years ago to buy ore on behalf of its steelmakers to gain more leverage as a large, single buyer.

BHP, meanwhile, is the world's largest listed miner and China's third-biggest supplier behind Rio Tinto and Vale.

CMRG did not respond immediately to an emailed request for comment and a BHP spokesperson said the company does not comment on commercial negotiations.

"While headlines read negative, we view th

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