Us-Australia Trade: What Does Australia Import?

Australia and the United States have a strong economic partnership, with two-way trade valued at US$77 billion and an investment relationship worth US$1.6 trillion. The US is Australia's largest economic partner, with approximately a quarter of Australia's inward foreign investment coming from the US. Australia imports a variety of goods from the US, including food items, medicines, and raw materials. In this context, it is worth noting that the US has recently imposed new tariffs on Australian imports, impacting the cost of doing business between the two nations.

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Australia's imports of steel and aluminium from the US are subject to a 50% tariff

Australia and the United States have a strong and cooperative trade relationship, with two-way trade valued at US$77 billion and an investment relationship worth US$1.6 trillion. This makes the US Australia's largest economic partner.

However, US President Donald Trump's decision to double import tariffs on Australian steel and aluminium to 50% has been met with dismay by Australia's trade minister, Don Farrell, who described the move as "unjustified and not the act of a friend". The tariff increase, from 25%, came into effect on 4 June 2025 and applies to certain derivative products with steel and aluminium content.

The Australian Aluminium Council and the Australian Steel Institute have both expressed concern about the potential for international trade flows to be distorted and the negative impact on the industry. The Australian government is analysing the impact of these US trade measures, and Trade Minister Farrell has reiterated Australia's stance that the tariffs should be dropped.

The tariffs are expected to have a relatively small direct economic impact on Australia, with less than AUD$1 billion of steel and aluminium exported to the US in 2023. However, they pose a challenge to Australia's trade strategy and its management of key alliances in an era of increasing protectionism. The tariffs are also a reminder to Australian businesses of the importance of market diversification, particularly in an unpredictable global trade environment.

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The US is a significant source of medicines for Australia

Australia and the United States are major trade and investment partners, with two-way trade valued at US$77 billion and an investment relationship worth US$1.6 trillion. The US is Australia's largest economic partner, and Australia is the US's 12th-largest goods export market.

The US-Australia trade relationship is facilitated by the Australia-United States Free Trade Agreement (AUSFTA), which came into effect in 2005. Under AUSFTA, over 97% of Australia's non-agricultural exports to the US are duty-free, and three-quarters of agricultural tariff lines have been eliminated. Australian companies also have access to the US federal government procurement market, valued at US$637 billion, and the government procurement markets of 31 US states.

Since AUSFTA came into force, two-way trade has grown by 138%, from US$32 billion to US$77 billion. US trade with Australia also supports US jobs, with Australian companies employing approximately 150,000 people in the US, including around 19,000 each in California and Texas.

While there have been calls in Australia to "buy local," the complexity of supply chains and the higher cost of Australian-made goods make it challenging for consumers to avoid US products.

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Pig meat is imported from the US to Australia

The United States and Australia share a strong and collaborative trade relationship, with the US being Australia's largest economic partner. The two countries have a history of working together to promote economic prosperity through free and open trade, as evidenced by their joint efforts in establishing the G20 and participation in global and regional trade forums such as the World Trade Organization (WTO). This partnership is further strengthened by the Australia-United States Free Trade Agreement (AUSFTA), which came into effect in 2005. Since then, two-way trade has flourished, increasing by 138% and reaching a total of US$77 billion.

AUSFTA has had a significant impact on the trade of agricultural products between the two countries. Under this agreement, three-quarters of agricultural tariff lines have been eliminated, facilitating smoother trade in agricultural goods, including pig meat. This agreement has not only boosted trade but also opened up access for Australian companies to the US federal government procurement market, valued at US$637 billion.

Pig meat, or pork, is one of the many agricultural products traded between the United States and Australia. The United States is a significant exporter of pig meat to Australia, contributing to the US$34.6 billion worth of goods exported to Australia in 2024. This trade relationship is mutually beneficial, supporting jobs in both countries. Australian companies in the United States employ approximately 150,000 people, with particularly notable numbers in states like California and Texas.

The import of pig meat from the United States aligns with Australia's diverse economy and its demand for a range of agricultural products. This demand is met by the United States, which has a robust pork industry. The trade in pig meat is just one aspect of the broader cooperation between the two countries, which encompasses a wide range of industries and sectors. The strong economic partnership between the United States and Australia, exemplified by the import of pig meat, demonstrates the successful implementation of the AUSFTA and the ongoing commitment to fostering economic growth and trade.

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The US exports fresh grapes to Australia

Australia and the United States have a strong trade relationship, with two-way trade valued at US$77 billion. The US is Australia's largest economic partner, with approximately a quarter of Australia's inward foreign investment coming from the US.

The US exports a variety of goods to Australia, including fresh grapes. California table grapes are one of the leading fresh fruit imports into Australia from the US. Australian importers must meet specific conditions to import fresh grapes for commercial purposes. These include obtaining an import permit and a phytosanitary certificate issued by the US National Plant Protection Organisation (NPPO). The grapes must also be free from pests, diseases, and any other material of biosecurity concern.

The decision to import table grapes from the US is a commercial decision between an importer in Australia and a US supplier who can meet these import conditions. Australian companies operating in the US across various industries also contribute to the economic relationship between the two countries.

The Australian Government has funded initiatives to promote healthy eating, which has increased profits for the fruit industry. Major supermarkets in Australia have also contributed to the growth in fresh fruit consumption and imports by offering a range of fresh produce year-round. The COVID-19 pandemic has influenced consumer food purchasing behavior, with a shift towards online shopping and healthier options. These factors have likely contributed to the demand for US fresh grapes in Australia.

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Financial services are imported from the US to Australia

Australia and the United States have a strong economic partnership, with two-way trade valued at US$77 billion. The US is Australia's largest economic partner, and the two countries have worked closely together to further economic prosperity through free and open trade. This includes their joint work in establishing the G20, as well as their collaboration in global and regional trade and economic fora, including the World Trade Organization (WTO) and the Asia-Pacific Economic Cooperation (APEC) forum.

Financial services are among the US's largest exports to Australia. The US also exports travel services, telecoms/computer/information services, royalties, and trucks to Australia. Over 12,000 Australian companies export to the United States, and Australian companies employ approximately 150,000 people in the US.

The Australia-United States Free Trade Agreement (AUSFTA) came into effect in 2005. Since then, two-way trade has grown by 138%, from US$32 billion to US$77 billion. Under AUSFTA, Australian companies have gained access to the federal government procurement market in the US, valued at US$637 billion, as well as the government procurement markets of 31 US states. Over 97% of Australia's non-agricultural exports to the US are now duty-free, and three-quarters of agricultural tariff lines have been eliminated.

The US's trade with Australia supports US jobs and promotes economic growth in both countries. The US runs a large trade surplus with Australia, with US goods exports to Australia exceeding imports from Australia. In 2024, US goods exports to Australia were valued at $34.6 billion, while US goods imports from Australia totaled $16.7 billion.

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