Latest news with #ScienceandResources
Business Times
3 days ago
- Business
- Business Times
Australia cuts commodity export outlook despite gold price gain
[MELBOURNE] Australia cut its forecast earnings from commodity exports, as a meteoric rise in gold prices fails to offset weakness in iron ore and natural gas. Total resource and energy export earnings fell about 7 per cent to an estimated A$385 billion (S$321 billion) in the 12 months to June, the Department of Industry, Science and Resources said in a quarterly report released on Monday (Jun 30). Income is set to fall further in the next two years because of rising trade barriers, weaker global economic growth and declining prices, it said. Iron ore continues to be Australia's biggest income earner, at about 30 per cent of the total. While shipments will rise, declining grades and falling prices mean earnings for the commodity will slip below A$100 billion in 2026 to 2027 for the first time this decade. Liquefied natural gas (LNG) exports are also set to fall, as new supply from the US and Qatar is set to see prices for Australia's second-biggest commodity drop to about US$10 a million British thermal units in 2027 from around US$15 early this year. Earnings from thermal coal will also decline, while its steelmaking counterpart will hold steady. The outlook is much more positive for gold, Australia's third-biggest commodity, with earnings seen jumping 22 per cent to US$56 billion in the financial year that ends on Monday. The department is also bullish on the outlook for copper, lithium and uranium. 'Higher prices for gold, and forecast higher copper and lithium exports, are partly offsetting the impact of lower prices for iron ore, coal and LNG,' Resources Minister Madeleine King said. 'While global commodity prices are easing, the report suggests Australian resources companies will continue to remain competitive on the global stage.' Finally, prices for lithium are set to 'remain subdued' but Australia will remain the leading supplier of the battery metal to 2027, according to the report. BLOOMBERG
Sydney Morning Herald
3 days ago
- Business
- Sydney Morning Herald
Australia news live: PM ‘very happy' to meet Trump; Exports at risk of tumbling $30b; Trump pushes for ceasefire in Gaza
Australia is headed for a $27 billion collapse in income from two of its biggest exports – liquefied gas and iron ore – as Donald Trump's trade war with China deepens fears for the global economy and stifles demand for commodities. The outlook for some of Australia's largest mining and energy companies has deteriorated since April, when the United States imposed across-the-board tariffs at much higher rates than many had been expecting, leading to increased uncertainty and lower global growth forecasts. Prices for Australian cargoes of liquefied natural gas in Asia have fallen from record levels. Credit: Bloomberg While Trump gave Australia the minimum baseline tariff rate of 10 per cent, the fallout for the country is expected to be wider-reaching as the biggest Asian buyers of Australia's natural resources, particularly China, face much higher US tariffs amid an already sluggish time for their economies. 'Rising trade barriers – and uncertainty over how high these barriers will settle – have disrupted trade between the US and its major partners and caused businesses and consumers to adopt a 'wait-and-see' approach,' the Department of Industry, Science and Resources says in its latest export forecast report, to be released on Monday. 'The associated uncertainty is likely to impinge on world commodity demand, as the nations that Australia supplies are impacted.' Read more of the story here.
The Age
3 days ago
- Business
- The Age
Australia news live: PM ‘very happy' to meet Trump; Exports at risk of tumbling $30b; Trump pushes for ceasefire in Gaza
Latest posts Latest posts 7.17am PM 'very happy' to meet Trump: Plibersek By Cindy Yin Social services minister Tanya Plibersek has confirmed organisation of a meeting between prime minister Albanese and US president Donald Trump is underway after their first meeting was cancelled earlier this month. The US president was forced to leave the G7 summit early to deal with the Iran-Israel war in the Middle East, a blow for Albanese who was due to meet with him face to face for the first time to discuss issues including trade and AUKUS. Speaking on Channel Seven's Sunrise this morning, Plibersek said the government was awaiting confirmation for a suitable time for the two leaders to meet. 'I'm sure the prime minister is very much looking forward to it. We're awaiting confirmation of a suitable time, and I'm sure when that confirmation comes through the PM will be very happy to visit Washington,' she said. 'He's had a number of calls with president Trump. There's a lot of communication going on both ways, but it's not the sort of thing where you pop in with a plate of scones, hoping someone's home. The organising of the visit is in train.' It comes as foreign minister Penny Wong is set to meet her US counterpart, Secretary of State Marco Rubio in Washington DC this week. 6.53am Australian exports to tumble $30b as Trump's tariff war hits home By Nick Toscano Australia is headed for a $27 billion collapse in income from two of its biggest exports – liquefied gas and iron ore – as Donald Trump's trade war with China deepens fears for the global economy and stifles demand for commodities. The outlook for some of Australia's largest mining and energy companies has deteriorated since April, when the United States imposed across-the-board tariffs at much higher rates than many had been expecting, leading to increased uncertainty and lower global growth forecasts. While Trump gave Australia the minimum baseline tariff rate of 10 per cent, the fallout for the country is expected to be wider-reaching as the biggest Asian buyers of Australia's natural resources, particularly China, face much higher US tariffs amid an already sluggish time for their economies. 'Rising trade barriers – and uncertainty over how high these barriers will settle – have disrupted trade between the US and its major partners and caused businesses and consumers to adopt a 'wait-and-see' approach,' the Department of Industry, Science and Resources says in its latest export forecast report, to be released on Monday. 'The associated uncertainty is likely to impinge on world commodity demand, as the nations that Australia supplies are impacted.'
The Age
3 days ago
- Business
- The Age
Australian exports to tumble $30b as Trump's tariff war hits home
Australia is headed for a $27 billion collapse in income from two of its biggest exports – liquefied gas and iron ore – as Donald Trump's trade war with China deepens fears for the global economy and stifles demand for commodities. The outlook for some of Australia's largest mining and energy companies has deteriorated since April, when the United States imposed across-the-board tariffs at much higher rates than many had been expecting, leading to increased uncertainty and lower global growth forecasts. While Trump gave Australia the minimum baseline tariff rate of 10 per cent, the fallout for the country is expected to be wider-reaching as the biggest Asian buyers of Australia's natural resources, particularly China, face much higher US tariffs amid an already sluggish time for their economies. 'Rising trade barriers – and uncertainty over how high these barriers will settle – have disrupted trade between the US and its major partners and caused businesses and consumers to adopt a 'wait-and-see' approach,' the Department of Industry, Science and Resources says in its latest export forecast report, to be released on Monday. 'The associated uncertainty is likely to impinge on world commodity demand, as the nations that Australia supplies are impacted.' Australia is the world's largest exporter of iron ore – the raw ingredient that is turned into steel in giant blast furnaces – and one of the top shippers of liquefied natural gas to countries in Asia that need the fuel to keep the lights on and to power their factories. However, as prices continue easing, the revenue earned from those commodities is now projected to decline more sharply than the government had been expecting just three months ago: iron ore earnings are set to fall by $20 billion – from $116 billion to $96 billion – within two years, while LNG is on track to fall from $60 billion to $53 billion. 'The near-term outlook for Australian resources and energy exports has softened as rising trade barriers hurt the world economy,' the department says in the report.
Sydney Morning Herald
3 days ago
- Business
- Sydney Morning Herald
Australian exports to tumble $30b as Trump's tariff war hits home
Australia is headed for a $27 billion collapse in income from two of its biggest exports – liquefied gas and iron ore – as Donald Trump's trade war with China deepens fears for the global economy and stifles demand for commodities. The outlook for some of Australia's largest mining and energy companies has deteriorated since April, when the United States imposed across-the-board tariffs at much higher rates than many had been expecting, leading to increased uncertainty and lower global growth forecasts. While Trump gave Australia the minimum baseline tariff rate of 10 per cent, the fallout for the country is expected to be wider-reaching as the biggest Asian buyers of Australia's natural resources, particularly China, face much higher US tariffs amid an already sluggish time for their economies. 'Rising trade barriers – and uncertainty over how high these barriers will settle – have disrupted trade between the US and its major partners and caused businesses and consumers to adopt a 'wait-and-see' approach,' the Department of Industry, Science and Resources says in its latest export forecast report, to be released on Monday. 'The associated uncertainty is likely to impinge on world commodity demand, as the nations that Australia supplies are impacted.' Australia is the world's largest exporter of iron ore – the raw ingredient that is turned into steel in giant blast furnaces – and one of the top shippers of liquefied natural gas to countries in Asia that need the fuel to keep the lights on and to power their factories. However, as prices continue easing, the revenue earned from those commodities is now projected to decline more sharply than the government had been expecting just three months ago: iron ore earnings are set to fall by $20 billion – from $116 billion to $96 billion – within two years, while LNG is on track to fall from $60 billion to $53 billion. 'The near-term outlook for Australian resources and energy exports has softened as rising trade barriers hurt the world economy,' the department says in the report.
