Industries with Biggest Decline in Exports in Australia in 2026

• 1. Bauxite Mining in Australia

  Decline in Exports for 2026: -39.3%

  Australian bauxite production remains the largest in the world, accounting for roughly 30% of global output and consistently outperforming major competitors like China, Guinea and Brazil. Rapid mine expansion drove Australia’s production to a peak of 107.2 million tonnes in 2019-20 before weakening demand and falling prices led to contraction, with only 96.4 million tonnes produced in 2022-23. Profit margins have come under pressure, weakening from 23.5% in 2020-21 to 13.0% in 2025-26, as glo...

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• 2. Explosives Manufacturing in Australia

  Decline in Exports for 2026: -33.7%

  The Explosives Manufacturing industry is intimately linked to Australia's resources sector. The industry supplies approximately 3.0 million tonnes of blasting explosives to Australia's mining and quarrying sectors annually. The industry's reliance on markets that’re prone to cyclical fluctuations makes its performance volatile. A series of external shocks in recent years has exacerbated volatility, including the COVID-19 pandemic and various geopolitical events, including geopolitical tension...

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• 3. Nickel Ore Mining in Australia

  Decline in Exports for 2026: -33.2%

  Nickel ore miners have experienced mostly positive operating conditions over the past decade. For most of the past five years, pricing growth was strong amid rising global demand for nickel. However, in 2023-24, oversupply in the global market prompted a sharp price downturn, forcing smaller nickel ore miners like Wyloo and Panoramic Resources to cease and suspend their operations. The Federal Government responded to weak nickel ore prices and these closures by providing relief through tax cr...

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• 4. Alumina Production in Australia

  Decline in Exports for 2026: -23.6%

  Australia is the world's largest bauxite producer and alumina exporter. Alumina is made by applying the Bayer process to bauxite. It can then be further refined into aluminium. The Alumina Production industry is highly concentrated and has only three major players: Alcoa, Rio Tinto and South32. Each firm is vertically integrated, with upstream bauxite mining and downstream aluminium smelting operations. The industry has displayed volatility over the past few years due to production disruption...

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• 5. Shipbuilding and Repair Services in Australia

  Decline in Exports for 2026: -22.8%

  Lucrative government contracts to supply naval ships and submarines to the Royal Australian Navy (RAN) have heavily supported the Shipbuilding and Repair Services industry. Shipbuilders have seen a significant surge in revenue over recent years thanks to the Arafura class Offshore Patrol Vessels (OPVs) program, which involves the construction of six vessels for the RAN for $3.6 billion. The program has underpinned growth in industry revenue, which is expected to have soared at an annualised 5...

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• 6. Milk & Cream Processing in Australia

  Decline in Exports for 2026: -17.5%

  The Milk and Cream Processing industry’s revenue has dipped over the past few years through 2024-25, due to volatile conditions in the domestic market. Despite growing milk prices, decreasing overseas demand for Australian milk through exports has reduced industry revenue over the period. That’s mainly because a shrinking milk pool has constrained growth. Revenue is expected to decrease at an annualised 0.5% over the five years through 2025-26, down to $4.83 billion. This includes an anticipa...

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• 7. Overhead Crane Manufacturing in Australia

  Decline in Exports for 2026: -17.2%

  The Overhead Crane Manufacturing industry has encountered subdued trends in several core domestic markets while losing ground to imports. Imports currently capture almost three-quarters of total domestic sales of overhead cranes, principally coming from China, Germany, the United States and Japan. Domestic demand for overhead cranes is expected to climb at an annualised 4.4% through 2025-26 to $1.8 billion on the back of solid sales to the local manufacturing and port terminal markets and rob...

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• 8. Pharmaceutical Product Manufacturing in Australia

  Decline in Exports for 2026: -17.2%

  Favourable demand factors have supported demand for pharmaceutical products, including an ageing population and a greater incidence of chronic disease. Increased local and global demand for consumer healthcare products has also benefited several manufacturers. Even so, ongoing challenges have constrained revenue, including a changing regulatory and risk environment and reform-driven pricing pressures. Ongoing PBS reforms have heavily influenced manufacturers, as mandatory price disclosures an...

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• 9. Carpet & Textile Floor Covering Manufacturing in Australia

  Decline in Exports for 2026: -17.1%

  Carpet and textile floor covering manufacturers have had to operate in a tough environment over the past five years. Purchase costs for raw materials and energy prices have increased, while import penetration has been high. Residential, commercial and institutional buildings are key downstream markets for the industry. Falling demand from residential building construction due to soaring construction costs, labour shortages and a slump in dwelling commencements over much of the past five years...

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• 10. Floriculture Production in Australia

  Decline in Exports for 2026: -14.3%

  Rising import penetration and economic pressures have stifled the Floriculture Production industry's performance. Inflationary pressures in 2022-23 constrained household spending, reducing discretionary income and dampening demand for industry products. Mounting imports from countries like Malaysia and Kenya, which offer lower-cost flowers, have intensified competition, with import penetration climbing as consumers seek lower prices. Large retailers and supermarkets are benefiting from these ...

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