The Financial Times reported that global iron ore giants Vale SA, Rio Tinto Group and BHP Billiton Ltd have sidelined China, their largest customer, in annual iron ore price negotiations with the miners talking instead to Japanese customers to reach a benchmark agreement,

FT, citing people familiar with the talks, reported that the miners have so far held no substantive negotiations with the Chinese side, led by Baosteel Group Corp.

It said that the mining companies have no plans to travel to China for discussions, with meetings held in Singapore.

It added that they want to reach a benchmark deal with Japanese steel mills which they can later present to Chinese buyer on a take it or leave it basis.

(Sourced from FT and Bloomberg)