By Lewis Jackson
SYDNEY (Reuters) – Australia barely revised down its forecasts for useful resource and vitality export earnings on Monday as decrease costs throughout a broad vary of commodities and a stronger foreign money continued to strain a key supply of presidency income.
Australia now expects commodity export earnings to fall about 10% to A$372 billion ($256 billion) for the yr ended 30 June 2025, down from a forecast of A$380 billion made in June, in line with the official assets and vitality quarterly. Revenues hit A$415 billion final yr.
The decline is about to proceed into 2026, albeit at a slower tempo, hitting A$354 billion.
Commodity costs are down due to slower financial development within the developed world, a consequence of upper rates of interest, and weak point in China, a significant supply of demand for metal and different commodities, the report stated.
Australia’s largest export iron ore has been significantly exhausting hit by the slowdown within the Chinese language property sector and costs are down a few third this yr.
The nation forecasts iron ore export income to fall to A$99 billion within the yr ended 30 June 2026 from A$138 billion final yr.
Costs have been decrease throughout a lot of the basket of assets lined by the report, together with metals vital to the renewable vitality transition like nickel and lithium.
Decrease costs pushed by a surge of provide from Indonesia have pressured some Australian nickel mines to close.
($1 = 1.4550 Australian {dollars})
