Australia’s exports to China SURGED by 21 per cent in just one month despite the nasty trade war – and wheat exports soared to a record high as Russia battled a drought
- Australia’s exports to China surged 21 per cent in December despite trade war
- Australia’s overall exports soared 16 per cent as wheat exports hit record high
- The monthly trade surplus of almost $9billion was also the fourth highest ever
Australia’s exports to China surged by 21 per cent in just one month despite the nasty trade war with its biggest trading partner.
In December alone, almost $35billion worth of Australian goods and services were sent overseas, as the Communist power bought substantially more iron ore to make steel for its Covid recovery.
China’s 80 per cent tariffs on barley have also done nothing to dent the agricultural sector, with other markets buying Australian cereals.
Australia’s exports to China surged by 21 per cent in just one month despite the nasty trade war with its biggest trading partner. Pictured is President Xi Jinping
Last month, barley exports tripled while wheat exports surged to a record high as Russia battled a drought.
The China trade spat has clearly failed with Australian exports to China surging by 21 per cent in December to $13.3billion.
China bought 38.2 per cent of Australia’s overall exports of $34.9billion – which rose by 16.3 per cent, Australian Bureau of Statistics trade data showed.
Australia’s monthly trade surplus also stood at $8.956billion – the fourth highest on record – as the value of imports fell nine per cent to $25.971billion.
China’s insatiable demand for iron ore, the commodity from Western Australia used to make steel, soared by $2.2billion, or 21 per cent, in December to $12.5billion.
Even more bizarrely, barley exports last month rose by $182 million, or 254 per cent, despite China in May imposing 80 per cent tariffs on the cereal in retaliation at Prime Minister Scott Morrison’s April call for an inquiry into the origins of Covid.
That first round of trade intimidation sparked a December complaint to the World Health Organisation from former trade minister Simon Birmingham.
Saudi Arabia bought 42 per cent of Australia’s barley exports in December as Russia, the world’s biggest wheat exporter, suffered from a drought.
Wheat exports surged 423 per cent in December.
‘December exports of cereals was the largest on record,’ the ABS said.
‘Favourable growing conditions in Australia, coupled with less favourable conditions in other wheat growing regions such as Russia has driven demand for Australian wheat to record highs.’
Despite the good news, Oxford Economics senior economist Sean Langcake said more Australian exports were vulnerable to more trade sanctions from China.
‘Given these disputes are far from resolved, trade barriers could be in place for quite some time and may broaden to include other goods,’ he said.
Oxford Economics concluded that while resources exports had a low vulnerability score, more rural exporters could be in danger.
In December alone, almost $35billion worth of Australian goods and services were sent overseas, as the Communist power bought substantially more iron ore to make steel for its Covid recovery. China’s insatiable demand for iron ore, the commodity from Western Australia used to make steel, soared by $2.2billion, or 21 per cent, in December to $12.5billion
Even more bizarrely, barley exports last month rose by $182 million, or 254 per cent, despite China in May imposing 80 per cent tariffs on the cereal in retaliation at Prime Minister Scott Morrison’s April call for an inquiry into the origins of Covid. Wheat exports surged 423 per cent in December to a record high
