Fortescue Secures Landmark $2B Yuan Loan in China

Fortescue, a major Australian iron ore miner, has secured a landmark syndicated loan worth 14.2 billion Chinese yuan (approximately US$2 billion), backed by Chinese, Australian, and international lenders including Bank of China and ICBC. This five-year facility, with a fixed interest rate of 3.8%, is the first of its kind for an Australian corporation in the Chinese lending market. The loan will support Fortescue's general corporate activities and decarbonisation strategy, particularly through collaboration with Chinese technology firms. The move follows Fortescue's recent decision to scrap green hydrogen projects in the U.S. and Australia, signaling a strategic pivot toward China as the U.S. reduces green energy investments. Chairman Andrew Forrest highlighted the financing as deepening ties with China and advancing the global green industrial revolution. The deal enhances Fortescue's financial flexibility and demonstrates strong confidence in its green innovation agenda.