Trade: International Trade and Iron Ore Essay

Submitted By susaannxo
Words: 452
Pages: 2

Trade is the exchange of goods and services between countries. Trading globally gives consumers and countries the opportunity to purchase goods and services which are not available in their own country. A product or service that is sold to the global market is an export, and a product or service that is bought from the global market is an import.
Australia is a major exporter of valuable minerals and fuels, including iron ore and coal. Australia also exports various goods and services such as education, travel, beef, wheat, medication and cars. Australia’s five most imported goods and services include recreational travel, crude petroleum, refined petroleums, vehicles and technology. Imports provide Australian’s with access to a wide range of competitively priced products and services from around the world. Imports are also used by Australian business as inputs for the production of new goods and services.

Japan is one of Australia's major economic partners it is Australia's largest trading partner and an increasingly important source of investment. Australia’s major goods exports to Japan include coal , iron ore, copper ores and concentrates, beef and recreational tourism. Although Japan depends upon Australia for natural resources, Australia's dependence on Japan is not as great. Japan is Australia's third largest import market. Japanese products account for only 11 percent of Australia's total imports. Japanese imports include cars, machinery, electrical goods and manufactured products.

Australia and China share a strong and rapidly growing trade and economic relationship. Australia's main exports to china are Commodity's such as iron ore, coal, gas wool and raw material in general. China is also Australia’s largest source of imports. Major imports from China include clothing, communications equipment, computers, prams, toys, games and sporting goods, furniture and