FX.co ★ Australia Q2 Import Prices Post Biggest Gain in 4-1/2 Years

Australia’s import prices jumped 5.7% quarter-on-quarter in Q2 2026, sharply beating market expectations for no change and accelerating from the modest 0.1% rise recorded in Q1. This was the third straight quarterly increase and the fastest growth since Q4 2021.

The surge was driven mainly by petroleum and related products (up 47.1%), as the closure of the Strait of Hormuz disrupted global supply and pushed oil prices higher. Fertilisers rose 25.1% on the back of stronger urea prices, while prices for plastics in primary forms climbed 26.3%, reflecting firmer polyethylene prices. Elevated crude oil and petrochemical costs continued to pass through supply chains, increasing production costs for plastic manufacturers.

These gains were partly offset by a 9.1% fall in non-monetary gold prices. Anticipation of tighter monetary policy and higher bond yields dampened safe-haven demand, weighing on gold over the quarter.