The prices of key Australian commodity exports were all lower in September weighing on merchandise exports. Quantities of commodity shipments were more mixed. Export growth to Australia’s key Asian destinations was generally weak.

• While shipments to China rose in September they fell 16.2% y/y after -16.3%. They were down 16% y/y to Japan and 13.2% y/y to Korea. There has been a global trend of strong exports to the US and Australia’s rose 19.3% y/y but they are a small market compared with Asian countries.
• The unit values of iron ore, coal and LNG exports all fell in September. Iron ore and hard coking coal had been down in August. Volumes of iron ore and hard coking coal rose in September predominantly driven by China but also Taiwan, and India and Turkey for the latter. Quantities fell for thermal & semi-soft coal due to Japan, India and the Netherlands. LNG was also lower. 

Australia merchandise exports to Asia y/y%