Australian Market Report, May 22 - May 29, 2026

The Vietnam Trade Office in Australia has compiled a summary of key Australian market news for the week of May 22nd to May 29th, 2026, for the reference of businesses and the public.

1. The Trade booth at the Sydney Foodservice Fair 2026 attracted significant interest from importers.

In fulfillment of the task approved by the Ministry of Industry and Trade , from May 25-27, 2026, the Vietnam Trade Office in Australia organized a booth to promote and connect Vietnamese agricultural products, food, and beverages with buyers participating in the Foodservice 2026 Fair. This year's fair took place at the ICC Sydney International Exhibition Centre, attracting tens of thousands of visitors, including distributors, buyers, and experts in the food and restaurant industry.

Trade booth at the Foodservice 2026 event, source: Vietnam News Agency correspondent.

The Trade Office's booth attracted considerable attention from international visitors. Products such as organic spoons, cups, and straws, coffee, coconut water, various spices, and dried rice noodles received particular interest.

Information regarding the connection needs of buyers is posted by the Trade Office on the portal: thitruongnuocngoai.moit.gov.vn for interested businesses to monitor and connect with.

2. Australian Consumer Price Index

According to newly released data from Statistics Australia, in the 12 months to April 2026, Australia's Consumer Price Index (CPI) increased by 4.2%, but was down from the previous month (4.6%).

Chart showing the CPI trend in Australia, source: ABS

The groups contributing most to annual inflation were Housing (+6.3%), Transportation (+6.6%), and Food and Non-Alcoholic Beverages (+2.8%). The trimmed mean inflation, excluding extreme price fluctuations, was 3.4%, a slight increase from 3.3% in the 12 months ending March 2026.

In April, the CPI increased by 0.4% according to preliminary figures and decreased by 0.1% according to seasonally adjusted figures.

3. The Australian red meat industry expects a significant increase in consumption in the US and Southeast Asia amid the risk of a 55% tariff being imposed by China.

According to Bloomberg, Australia's red meat export industry expects strong demand from the US and Southeast Asia to help offset losses amid the risk of tariffs of up to 55% from China.

Earlier in December 2025, to protect its domestic livestock industry, the Chinese government announced a new quota system for beef imports, under which tariffs could reach 55% if the quota was exceeded. According to the same source, in May 2026, China warned Australia that it had reached 80% of its annual quota of 205,000 tons, and any excess would be subject to a 55% tariff. Analysts predict this quota could be filled as early as mid-June.

Livestock in NSW, David Gray/Bloomberg

According to the Meat Association of Australia (MLA), Australia's red meat industry had its strongest start ever in 2026, with beef production reaching over 730,000 tonnes in the first quarter, an 8% increase year-on-year.

Demand for Australian beef in the US is high amid US cattle herds being at their lowest levels in decades. Export data from the first three months of 2026 shows the US remains Australia's largest overseas market with 29% of export sales, followed by China with 21%. Japan and South Korea share the remaining 32%.

Prior to this development, Australian Trade Minister Don Farrell repeatedly voiced his opposition to China's protectionist measures and met with his counterpart Wang Wentao during a visit to China. However, to date, Beijing has shown no signs of easing its stance.

4. Australian mining companies warn of China's growing influence on the iron ore sector.

Australia's largest mining companies, such as BHP and Fortescue, have warned that the power struggle between BHP and the Chinese state-backed steel conglomerate is a sign that China is increasing pressure on the iron ore sector.

Previously, negotiations for the annual contract between BHP and China Mineral Resources Group (CMRG), which represents nearly 80% of China's steel mills, dragged on for months due to China's demands for tough concessions from BHP, including price reductions and increased use of the yuan in payments.

Steel trading in Shanghai, China; source: AFR

Tim Day, an expert at BHP in Western Australia, assesses that although negotiations with China ended last month in a very difficult state, the situation could become even more tense next year. This means that pressure on China is likely to continue in a similar manner in the future, mainly due to China's overwhelming economic size and power.

5. BHP Group is under scrutiny for its net-zero target by 2050.

Internal BHP documents obtained by Four Corner and Guradian Australia reveal that BHP's massive iron ore mining operation in Western Australia is projected to cut emissions by only about 1% by 2030, raising doubts within the company about whether it can achieve its net-zero emissions target by 2050.

BHP's mining operations; Source: ABC News

Mining operations in Western Australia account for up to 30% of BHP's global emissions. Therefore, significant emissions reductions in the Pilbara region (Western Australia) are considered crucial to achieving net-zero emissions by 2050. The mining giant's delay in deploying renewable energy for its transport vehicles and trains has fueled internal doubts about its ability to meet this ambitious climate target.

Tim Buckley, an expert from the consulting firm Climate Energy Finance, assesses that BHP is not on track to achieve its goal of net-zero emissions by 2050.

6. AGL Energy, a power group, plans to sell stakes in several wind farms.

According to Street Talk, AGL Energy – Australia's second-largest electricity distributor – is seeking to sell majority stakes in several wind farms with a total capacity of 1.7 gigawatts to private investors. The deal includes projects such as the 831-megawatt Pottinger wind farm and battery storage in South Australia, the 600-megawatt Hexham wind farm in Victoria, and the 304-megawatt Barn Hill wind farm.

An AGL wind farm; source: AFR

With a total capacity exceeding 1.7 gigawatts, this portfolio could be worth up to AUD 5 billion. According to Macquarie Capital and Bank of America, the advisors to the deal, the deadline for submitting non-binding bids is the end of next month.

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Tags: Australian market, Vietnam Trade Office in Australia

Source: https://moit.gov.vn/tin-tuc/ban-tin-thi-truong-uc-tu-22-5-29-5-2026.html