The BHP (ASX:BHP) share price has smashed the market in 2020

The BHP Group Ltd (ASX: BHP) share price has been a positive performer in 2020.

Since the start of the year, the BHP share price has gained approximately 11%.

And if you add in the $1.75 per share dividends the company has paid during the 12 months, this gain stretches to over 15%.

This compares to a largely flat S&P/ASX 200 Index (ASX: XJO).

Why has the BHP share price outperformed in 2020?

The key driver of the company’s share price outperformance in 2020 has been a rise in the iron ore price. This has been driven by supply constraints in Brazil and robust demand in China as it spends big on infrastructure to reignite its economy.

Given the significant contribution that iron ore makes to its overall profits, a surging iron…