Por Lewis Jackson
SYDNEY (Reuters) – Australia revised its resource and energy export revenue forecasts slightly downward on Monday, as lower prices across a wide range of raw materials and a stronger currency continued to pressure a key source of government revenue. .
Australia now expects commodity export earnings to fall about 10% to 372 billion Australian dollars ($256 billion) for the year ending June 30, 2025, below a forecast of 380 billion Australian dollars made in June, according to the official quarterly resources and energy report. Revenue reached 415 billion Australian dollars last year.
The decline is expected to continue until 2026, although at a slower pace, reaching 354 billion Australian dollars.
Commodity prices have fallen due to slower economic growth in the developed world, a consequence of higher interest rates, and weakness in China, a major source of demand for steel and other raw materials, according to the report.
Australia’s biggest iron ore export has been particularly hit by the slowdown in the Chinese property sector and prices are down about a third this year.
The country forecasts iron ore export revenue will fall to A$99 billion in the year ending June 30, 2026, from A$138 billion last year.
Prices were lower across much of the basket of resources covered by the report, including metals important for the transition to renewable energy, such as nickel and lithium.
Lower prices driven by increased supply from Indonesia have forced some Australian nickel mines to close.
($1 = 1.4550 Australian dollars)
