Biggest Importing Industries in Australia in 2020

1. Motor Vehicle Manufacturing in Australia

Imports for 2020: $27.5B

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 the signing of 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 past five years, consumers have increasingly favoured smaller, fuel-efficient cars and cars that provide a combination of comfort and utility, such as SUVs. The high cost of Australian production contributed to the two remaining domestic passenger vehicle... Learn More

2. Petroleum Refining and Petroleum Fuel Manufacturing in Australia

Imports for 2020: $25.7B

Four major oil refineries generate almost all revenue in the Petroleum Refining and Petroleum Fuel Manufacturing industry. These oil refineries 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 surging import penetration have negatively affected the industry over the past five years. Consequently, industry revenue... Learn More

3. Pharmaceutical Product Manufacturing in Australia

Imports for 2020: $13.7B

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, the industry has also faced several challenges over the period, including a changing regulatory and risk environment, a patent cliff that has taken away players' exclusive manufacturing rights to many highly profitable drugs, and reform-driven pricing pressures. Ongoing PBS reforms have heavily influenced the industry, as mandatory price disclosures have continued to reduce prices. Intensifying competition from... Learn More

4. Communication Equipment Manufacturing in Australia

Imports for 2020: $12.4B

The Communication Equipment Manufacturing industry's performance has fluctuated over the past five years due to increased demand from international markets and rising import penetration. Local industry players have benefited from manufacturing niche products, such as radio frequency augmenting equipment, that large multinational companies typically do not manufacture. The industry exhibits high globalisation, with a large proportion of industry revenue generated through export markets, particularly China, Hong Kong and the United States. Additionally, imports from countries such as China and Vietnam satisfy the vast majority of domestic demand. These countries have dominated the Australian communication equipment market over the past five... Learn More

5. Oil and Gas Extraction in Australia

Imports for 2020: $12.3B

The Oil and Gas Extraction industry has had significant revenue growth over the past five years, despite exhibiting high volatility. Changes in oil and gas prices, exchange rate movements, domestic and export demand for oil and gas, and annual production volumes all influence the industry’s performance. Industry output has expanded over the past five years, while world oil and natural gas prices have declined. Australian natural gas production, which makes up most of the industry, is expected to increase at an annualised 16.3% over the five years through 2018-19. Although the world price of natural gas has fallen over the... Learn More

6. Computer and Electronic Office Equipment Manufacturing in Australia

Imports for 2020: $11.4B

The Computer and Electronic Office Equipment Manufacturing industry has declined over the past five years. Industry revenue is expected to fall at an annualised 2.6% over the five years through 2019-20, to $917.3 million. A depreciation of the Australian dollar over the past five years has made imports more expensive and increased demand for locally manufactured products, partially offsetting the industry's decline. However, imports have continued to dominate the market for computer products over the period. Foreign manufacturers with lower operating costs have placed pressure on local prices and have pushed companies out of the industry over the past five... Learn More

7. Audio Visual Electronic Equipment Manufacturing in Australia

Imports for 2020: $7.7B

The Audio Visual Electronic Equipment Manufacturing industry has performed strongly over the past five years. Increasing industry exports have fuelled revenue growth over the period, aided by the depreciation of the Australian dollar. The Federal Government's and private security firms' increased spending on defence-related products has also boosted revenue. Despite high import penetration, industry revenue is expected to increase at an annualised 7.2% over the five years through 2019-20, to $2.8 billion. This includes a forecast increase of 0.2% in the current year, due to higher spending on capital goods driving demand for industry products.

The industry has been characterised by... Learn More

8. Copper Tubes and Wire Manufacturing in Australia

Imports for 2020: $7.5B

Firms in the Copper Tubes and Wire Manufacturing industry have contended with difficult trading conditions over the past five years. Industry operators have faced significant competition from imports over the period, as low-cost manufacturers from Papua New Guinea and Japan have increasingly dominated the domestic market. Overseas manufacturers typically operate with lower labour and overhead costs than Australian manufacturers. These characteristics enable foreign firms to pass on cost savings to customers in the form of lower prices, without reducing profitability. Competition from substitute products has also intensified over the past five years. Plastic tubes and fittings have increasingly been used... Learn More

9. Measurement and Other Scientific Equipment Manufacturing in Australia

Imports for 2020: $7.5B

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. Despite intense import penetration over the past five years, the industry has grown at a solid pace, due to a surge in 2017-18 as the construction division and private capital expenditure on machinery and equipment surged. However, some domestic companies have struggled to compete with the range of goods that are manufactured overseas. The price points of these imported... Learn More

10. Medical and Surgical Equipment Manufacturing in Australia

Imports for 2020: $6.4B

The Medical and Surgical Equipment Manufacturing industry has recorded 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. Major players ResMed and Cochlear, which together account for almost half of industry revenue, produce high-tech medical equipment for local and overseas markets. Exports to other OECD countries provide strong growth opportunities for industry operators. Nearly 30% of industry products are exported to the United States, which is the largest healthcare market in the world. Other countries with substantial health... Learn More