Despite Rising Tensions, Australia-China Trade Remains Robust

The need to meet domestic demand, sustain economic growth and keep consumer prices reasonable will limit China’s ability to exert economic pressure on Australia, despite rising tensions between Beijing and Canberra. On Jan. 25, the Australian Bureau of Statistics released preliminary numbers showing that Australian monthly exports to China rose in December 2020 by 21% year-on-year -- putting the annual total exports to the country at $112.4 billion, just slightly down from a high of $114.8 billion in 2019. The monthly boost in exports to China was largely driven by iron ore and wheat demand.  ...