Biggest Importing Industries in Australia in 2022

1. Motor Vehicle Manufacturing in Australia

Imports for 2022: $30.5B

Import competition from a globalised market has eroded the revenue of the Motor Vehicle Manufacturing industry over the past five years. Local production volumes have fallen due to a range of factors, including free trade agreements with major car manufacturing countries like South Korea and Japan, and the inability of local manufacturers to adapt to shifting consumer preferences. Over the period, consumers have increasingly favoured smaller, fuel-efficient cars and cars that provide a combination of comfort and utility. The high cost of Australian production contributed to the two remaining domestic passenger motor vehicle (PMV) manufacturers, Toyota and Holden, exiting the... Learn More

2. Petroleum Refining and Petroleum Fuel Manufacturing in Australia

Imports for 2022: $22.9B

Operators in the Petroleum Refining and Petroleum Fuel Manufacturing industry process crude oil into a range of fuels and secondary products that are then sold to downstream markets. Crude oil purchase costs dominate the industry's cost structure. The cost of this input, in conjunction with fluctuations in the value of the Australian dollar, contributes to significant revenue volatility, as world crude oil prices are typically passed on to downstream markets.

Declines in refinery output and rising import penetration have negatively affected the industry over the past five years. However, growth in global oil prices in the current year is expected to... Learn More

3. Pharmaceutical Product Manufacturing in Australia

Imports for 2022: $14.2B

Several favourable demand factors have affected the Pharmaceutical Product Manufacturing industry over the past five years, including an ageing population and a greater incidence of chronic disease. Increased local and global demand for consumer healthcare products has also benefited some industry operators. However, industry operators have faced several challenges over the period, including a changing regulatory and risk environment, and reform-driven pricing pressures. Ongoing PBS reforms have heavily influenced the industry over the period, as mandatory price disclosures have continued to reduce prices. Rising competition from generic drugs has also constrained the industry's performance.

The COVID-19 pandemic has also influenced the... Learn More

4. Communication Equipment Manufacturing in Australia

Imports for 2022: $13.3B

Firms in the Communication Equipment Manufacturing Industry have faced varied trading conditions over the past five years. The COVID-19 pandemic weakened industry demand in downstream markets over the period. In addition, imports from low-cost producers, such as China and Vietnam, have penetrated the market, as operators in these countries have been able to take advantage of lower labour and manufacturing costs. This trend has significantly reduced local operators' competitiveness over the period. Imports have risen as a share of domestic demand despite the Australian dollar depreciating over the same period. Industry revenue is expected to decrease at an annualised 3.0%... Learn More

5. Computer and Electronic Office Equipment Manufacturing in Australia

Imports for 2022: $13.1B

The Computer and Electronic Office Equipment Manufacturing industry has expanded over the past five years, primarily due to a shift towards servicing clients in the private and public sectors. Industry revenue is expected to increase at an annualised 1.7% over the five years through 2021-22, to $1.21 billion. Despite a weak Australian dollar over the past five years, imports have continued to dominate the market for computer products, which has limited revenue growth and profitability. Nevertheless, the COVID-19 pandemic has provided a boost in demand for laptops and notebooks, as many Australians have shifted towards working and studying from home.... Learn More

6. Copper Tubes and Wire Manufacturing in Australia

Imports for 2022: $11.2B

Firms in the Copper Tubes and Wire Manufacturing industry have faced difficult trading conditions over the past five years. Foreign manufacturers have placed significant competitive pressure on industry operators over the period, with low-cost overseas manufacturers dominating the domestic market. These manufacturers typically operate with lower labour and overhead costs than Australian manufacturers, allowing them to pass on cost savings to customers through lower prices without reducing profitability. Competition from substitute products has also intensified over the past five years. Aluminium products have increasingly been used as a substitute for copper in automotive equipment manufacturing. In particular, extruded and rolled... Learn More

7. Measurement and Other Scientific Equipment Manufacturing in Australia

Imports for 2022: $7.8B

The Measurement and Other Scientific Equipment Manufacturing industry produces a range of measurement, analytical and scientific equipment, including laboratory, analytical, measuring, meteorological, radar, navigational and surveying instruments and equipment. The industry's downstream markets include manufacturing, construction, healthcare, education and defence companies, and households. Industry revenue is expected to increase at an annualised 8.3% over the five years through 2021-22, to $2.8 billion. This includes a drop of 0.2% in the current year due to reduced demand from construction and lower private capital expenditure on machinery and equipment.

Continued growth in competing imports has hindered industry revenue growth over the past five... Learn More

8. Household Appliance Manufacturing in Australia

Imports for 2022: $7.1B

Players in the Household Appliance Manufacturing industry have faced challenging operating conditions over the past five years, largely due to high import penetration. In particular, operators located in Asia have lower wage and production costs, giving them greater economies of scale and enabling them to charge lower prices for their products. As a result, industry revenue is expected to decrease at an annualised 2.7% over the five years through 2022-23, to $2.0 billion. This trend includes an anticipated fall of 1.0% in the current year.

Industry profit margins have increased slightly over the past five years. Prices for key inputs such... Learn More

9. Medical and Surgical Equipment Manufacturing in Australia

Imports for 2022: $6.8B

Revenue for the Medical and Surgical Equipment Manufacturing industry has exhibited solid growth over the past five years. While most Australian manufacturing industries are declining due to rising production costs and fierce import competition, local industry firms are growing and remaining profitable. Industry players ResMed and Cochlear produce high-tech medical equipment, which provides them with strong growth opportunities in supplying the local and overseas markets. Industry revenue is expected to grow at an annualised 8.2% over the five years through 2022-23, to $7.0 billion. This trend includes anticipated growth of 2.3% in the current year, due to continued demand from... Learn More

10. Mining and Construction Machinery Manufacturing in Australia

Imports for 2022: $6.7B

Operators in the Mining and Construction Machinery Manufacturing industry have contended with mixed demand conditions over the past five years. The industry is primarily supported by demand from the mining and construction sectors, so expenditure on capital by either sector benefits the industry. However, cost pressures and heightened import competition have forced several firms to exit the industry over the period. Other firms have restructured their operations over the past five years, moving some production offshore to take advantage of lower manufacturing costs. Overall, industry revenue is expected to increase at an annualised 1.4% over the five years through 2021-22,... Learn More