FX.co ★ Australia Imports Drop to 5-Month Low

Australia’s goods imports declined by 2.5% month-on-month to AUD 44.34 billion in July 2026, the lowest level in five months. The drop was sharper than the revised 0.7% fall recorded in June, reflecting weak domestic demand and subdued business investment.

Imports of intermediate and other merchandise goods fell sharply, down 7.8% to AUD 18.28 billion. This was driven by reduced purchases of fuels and lubricants (-12.3%), processed industrial supplies n.e.s. (-4.7%), and other parts for capital goods (-1.7%). Imports of non-monetary gold also slumped, dropping 31.1% to AUD 1.65 billion.

In contrast, capital goods imports rose 6.7% to AUD 10.74 billion, supported by strong increases in ADP equipment (50.4%), industrial transport equipment (7.6%), and civil aircraft and confidentialised items (16.6%).

Meanwhile, imports of consumption goods increased 3.5% to AUD 13.67 billion, driven by higher purchases of non-industrial transport equipment (8.2%), food and beverages mainly for consumption (3.6%), and consumption goods n.e.s. (2.8%).