In the financial year 2021, the mining industry in Australia accounted for almost 11 percent of real gross value added to the economy. In the same fiscal year, the financial and insurance services reported around 9.3 percent of real gross value added to the economy.

In 2023, agriculture contributed around 2.57 percent to the GDP of Australia, 27.65 percent came from industry, and 63.57 percent from the services sector. The same year, the Australian inflation rate, another important key indicator for its economic situation, amounted to 2.82 percent. Why is the inflation rate important?Inflation is the steady increase in price levels for consumer goods and services during a certain timespan. The European Central Bank considers a steady inflation rate of two percent a year beneficial for a stable economy – otherwise a country risks economic hardship. In the worst case, a country can experience either hyperinflation (like Venezuela), which is the rapid increase of prices to a point of economic collapse, or deflation, which is the decrease of prices and devaluation of money that can also lead to economic collapse. Up and down under Australia’s inflation has been clawing itself out of a slump in 2016, when it unceremoniously dropped to 1.25 percent due to falling petrol costs and oil prices. The following year, it recovered instantaneously and soared back to just under two percent, and forecasts see it reaching 2.52 percent by 2021. Australians don’t seem too worried about this outlier, and rightly so, since Australia’s economy is still one of the biggest in the Asia-Pacific region and worldwide.

Industry sectors in Australia (2001-2011). The variables were derived from 2011, 2006 and 2001 census.

This statistic displays the productivity of industry sectors compared with global competitors in Australia in 2018. During this year, the productivity index of the agribusiness sector in Australia was 146 percent, meaning this sector was 46 percent more productive that the average productivity of global competitors in the same sector.

Industry sectors in Australia (2001-2011). The variables were derived from 2011, 2006 and 2001 census. Copyright attribution: University of Queensland - eResearch Group, (2014): ; accessed from AURIN on 12/3/2020. Licence type: Creative Commons Attribution 2.5 Australia (CC BY 2.5 AU) Industry sectors in Australia (2001-2011). The variables were derived from 2011, 2006 and 2001 census. Copyright attribution: University of Queensland - eResearch Group, (2014): ; accessed from AURIN on 12/3/2020. Licence type: Creative Commons Attribution 2.5 Australia (CC BY 2.5 AU)

The industry is highly fragmented due to the diverse nature of the products, with many firms producing low quantities of specialised products. Downstream markets, like mining and manufacturing, strongly influence the industry's performance. Industry revenue is expected to grow at an annualised 3.3% over the five years through 2023-24 to $2.8 billion. This includes an expected 2.1% decline in the current year due to slow growth in downstream demand stemming from a sharp rise in interest rates.A strong performance in the industry's major market, mining, has contributed to revenue growth over the past five years. Rising capital expenditure by the private sector has supported manufacturers. Imports from manufacturers in nations like China have accounted for a high proportion of domestic demand. They are driving out local producers relying on low domestic production costs to remain profitable. Foreign manufacturing hubs typically have low labour costs and specialise in manufacturing high-quantity, standardised products. Despite rampant import competition, industry enterprise and establishments numbers have risen as domestic manufacturers dominate niche markets, creating bespoke, high-quality products.Industry revenue is forecast to fall at annualised 0.7% over the five years through 2028-29 to $2.7 billion. Mixed demand conditions in key downstream industries, like manufacturing, will likely limit revenue growth. Actual capital expenditure on mining is set to grow over the next five years, which is set to support industry growth. An anticipated appreciation of the Australian dollar over the next five years will likely reduce domestic product competitiveness, constraining export revenue. However, a continued shift towards high-value specialised manufacturing is likely to offset this decline and support an increase in profitability over the period. Import competition is slated to continue threatening industry players as developed countries continue to innovate and produce products on par with domestic manufacturers. This trend is anticipated to be an additional barrier for domestic manufacturers who have pivoted to creating high-value products.

Graph and download economic data for Benchmarked Unit Labor Costs - Business Sector for Australia (DISCONTINUED) (ULQBBU08AUA657S) from 1985 to 2010 about unit labor cost, Australia, sector, business, and labor.

In the financial year 2023, the production value of the primary industry sector in Queensland was estimated to hit 24.44 billion Australian dollars, marking a rise from the previous financial year. Forecasts show that in the financial year 2024, the primary industry sector's production value is expected to decrease to 23.67 billion Australian dollars.

Australia Number of Company: New Registered: All Sectors data was reported at 436,018.000 Unit in 2024. This records an increase from the previous number of 406,365.000 Unit for 2023. Australia Number of Company: New Registered: All Sectors data is updated yearly, averaging 328,205.000 Unit from Jun 2008 (Median) to 2024, with 17 observations. The data reached an all-time high of 442,555.000 Unit in 2022 and a record low of 239,229.000 Unit in 2013. Australia Number of Company: New Registered: All Sectors data remains active status in CEIC and is reported by Australian Bureau of Statistics. The data is categorized under Global Database’s Australia – Table AU.O001: Number of Company: by Sector.

The report covers Australian Retail Industry Companies & Overview and is segmented by Products (Food and Beverages, Personal and Household Care, Apparel, Footwear and Accessories, Furniture, Toys and Hobby, Electronic and Household Appliances, and Other Products) and Distribution Channel (Supermarkets/Hypermarkets, Convenience Stores, and Department Stores, Specialty Stores, Online, and Other Distribution Channels).

No of Company: Operating: Start of Financial Year: All Sectors data was reported at 2,589,873.000 Unit in 2024. This records an increase from the previous number of 2,539,724.000 Unit for 2023. No of Company: Operating: Start of Financial Year: All Sectors data is updated yearly, averaging 2,137,796.000 Unit from Jun 2008 (Median) to 2024, with 17 observations. The data reached an all-time high of 2,589,873.000 Unit in 2024 and a record low of 2,050,642.000 Unit in 2010. No of Company: Operating: Start of Financial Year: All Sectors data remains active status in CEIC and is reported by Australian Bureau of Statistics. The data is categorized under Global Database’s Australia – Table AU.O001: Number of Company: by Sector.

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Logistics Market For Industrial Sector Size 2024-2028

The logistics market for industrial sector size is forecast to increase by USD 1347.5 billion at a CAGR of 5.4% between 2023 and 2028.

The market is experiencing significant advancements, driven by key trends and challenges. Notable trends include the increasing adoption of technologies such as artificial intelligence (AI), electric vehicles (EVs), blockchain technology, last-mile delivery, and Internet of Things (IoT). Investments in industrial logistics are surging, with companies prioritizing the implementation of these advanced technologies to streamline operations and enhance efficiency. Moreover, there is a growing emphasis on sustainable modes of logistics, with the adoption of EVs gaining traction. However, cybersecurity threats pose a significant challenge to the industry, necessitating security measures to protect sensitive data and ensure supply chain transparency. In addition, the market is witnessing substantial growth, fueled by technological advancements, investments, and the demand for sustainable and efficient logistics solutions. Companies must stay abreast of these trends and address cybersecurity challenges to remain competitive in the evolving landscape.

What will be the Size of the Market During the Forecast Period?

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The market is experiencing a significant shift towards e-commerce, with both B2B and B2C transactions increasing at an unprecedented rate. This trend poses unique challenges for logistics services, requiring efficient and cost-effective solutions for last-mile delivery, route optimization, and supply chain management. Third-party service providers play a crucial role in addressing these challenges. They offer specialized logistics services, leveraging advanced technologies such as Artificial Intelligence (AI), Software-as-a-Service (SaaS), and the Internet of Things (IoT). Logistics 4.0, the latest evolution of logistics, integrates AI and automation into transportation systems. AI algorithms optimize transportation modes, including roadways, seaways, railways, and airways, to ensure timely and cost-effective delivery of consumer goods, food and beverages, healthcare products, and other industrial items. Route optimization is a critical component of logistics services, particularly for last-mile delivery. AI-driven algorithms analyze real-time traffic data and delivery schedules to determine the most efficient routes, reducing delivery times and fuel consumption. Electric Vehicles (EVs) and Blockchain technology are key enablers of logistics optimization.



EVs offer environmental benefits and lower operational costs, while Blockchain ensures secure and transparent tracking of goods, enhancing trust and accountability in the supply chain. Quickcommerce, a new business model, is gaining popularity in the industrial sector. It combines the speed and convenience of e-commerce with the efficiency of traditional supply chain management. AI and IoT technologies enable real-time inventory management, order processing, and delivery tracking, ensuring timely and accurate fulfillment of customer orders. Transportation modes, including roadways, seaways, railways, and airways, are undergoing digital transformation. AI and IoT technologies are being integrated into transportation systems to optimize routes, reduce fuel consumption, and improve safety and reliability. In conclusion, the industrial sector is undergoing a digital transformation, driven by the growing importance of e-commerce and the need for efficient logistics services. Third-party service providers are leveraging advanced technologies, including AI, SaaS, IoT, EVs, and Blockchain, to optimize transportation systems, route planning, and supply chain management. By embracing these technologies, industrial businesses can enhance their competitiveness, improve customer satisfaction, and reduce operational costs.

How is this market segmented and which is the largest segment?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

Type

  Transportation Services
  Warehousing and Storage
  Third-Party Logistics (3PL)
  Value-added services


End-user

  Manufacturing
  Construction
  Energy
  Others


Geography

  APAC

    China
    India
    Japan
    South Korea


  North America

    Canada
    US


  Europe

    Germany
    UK
    France


  Middle East and Africa



  South America

By Type Insights

The transportation services segment is estimated to witness significant growth during the forecast period.

The logistics market for the industrial sector is divided into multiple transportation services, catering to distinct logistical requirements. Notable transportation

As of May 2022, approximately 15 percent of people employed in the Australian workforce were working in the health care and social assistance industry. Other leading industries for employment were professional, scientific, and technical services, as well as retail trade.

Industry associations have faced mixed performance trends in recent years, shaped by shifting market dynamics and evolving member needs. Increased competition from alternative learning platforms, a growing preference for self-paced online education and reduced demand for traditional services like in-person training and certifications have all combined to drive declines in revenue across several associations. At the same time, many industry associations have diversified their income streams, moving beyond membership fees to rely more heavily on government grants, sponsorships and corporate partnerships. Industry associations tied to shrinking sectors, like agriculture, have struggled with lower member engagement and financial constraints because of challenges like fluctuating commodity prices and reliance on government support. Associations in high-growth sectors like technology and sustainability have fared better, benefiting from rising demand for specialised services. The industry's reliance on skilled personnel and high operational costs has limited the surplus available to reinvest in member services and digital transformation to enhance engagement. These factors have also contributed to a 2.9% annualised contraction expected in industry revenue over the five years through 2024-25, to $4.6 billion. This trend includes an anticipated recovery of 0.7% in 2024-25, driven by improving government grants, donations, sponsorships and fundraising and an increasing number of industry associations. Adapting to a changing landscape will allow industry associations room to grow again. Diversifying revenue streams and global expansion will be critical strategies for sustaining growth. Tiered membership models, digital platforms and innovative service offerings that align with members’ evolving needs will help associations attract and retain members. High-growth sectors, particularly technology, clean energy and sustainability, are set to drive membership growth and create demand for tailored services. Government grants and research and workforce development incentives will provide a financial buffer, enabling associations to support critical initiatives. However, associations tied to traditional sectors may face continued challenges, especially if economic volatility and environmental factors persist. Associations’ long-term success will depend on their ability to balance cost pressures, innovate service delivery and respond to broader market trends. Overall, industry revenue is forecast to grow 2.5% through the end of 2029-30 to $5.2 billion.

Australia GDP: % of GDP: Gross Value Added: Industry: Manufacturing data was reported at 5.363 % in 2023. This records a decrease from the previous number of 5.375 % for 2022. Australia GDP: % of GDP: Gross Value Added: Industry: Manufacturing data is updated yearly, averaging 9.580 % from Dec 1990 (Median) to 2023, with 34 observations. The data reached an all-time high of 13.789 % in 1990 and a record low of 5.363 % in 2023. Australia GDP: % of GDP: Gross Value Added: Industry: Manufacturing data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s Australia – Table AU.World Bank.WDI: Gross Domestic Product: Share of GDP. Manufacturing refers to industries belonging to ISIC divisions 15-37. Value added is the net output of a sector after adding up all outputs and subtracting intermediate inputs. It is calculated without making deductions for depreciation of fabricated assets or depletion and degradation of natural resources. The origin of value added is determined by the International Standard Industrial Classification (ISIC), revision 3. Note: For VAB countries, gross value added at factor cost is used as the denominator.;World Bank national accounts data, and OECD National Accounts data files.;Weighted average;Note: Data for OECD countries are based on ISIC, revision 4.

The Plastic Pipe and Plastic Packaging Material Manufacturing industry has experienced a mixed-performance landscape. On the one hand, rising demand in sectors like wholesaling and retailing has been a driving force, with key product segments like plastic packaging materials seeing significant growth because of the expanding ecommerce sector and increasing demand for durable and lightweight packaging solutions. Similarly, the manufacturing sector has sustained demand for plastic tableware, kitchenware and household products, as well as pipe and plumber fittings, particularly in industries like food and beverage processing and industrial water, gas and chemical transport. On the other hand, declining residential construction activity has negatively impacted the construction sector, reducing demand for essential plastic products like pipes. In November 2024, new dwelling approvals dropped 3.6%, contributing to the slowdown. While government infrastructure projects continue to provide some stability, the downturn in the construction sector has left manufacturers grappling with reduced orders and price pressures. Compounding the industry’s challenges are elevated input costs, which have risen because of rising raw material and energy prices. These heightened costs have squeezed manufacturers’ profit margins, while weaker demand for plastic products in other sectors, like agriculture, mining and utilities, has worsened the industry's performance. As such, industry revenue is expected to have dropped at an annualised 1.1% over the five years through 2024-25 to $4.7 billion. Low-cost imports have become increasingly present, pressuring the domestic market and driving an anticipated 4.6% fall in revenue in 2024-25. Rising public concern over environmental issues has also influenced demand, as consumers and businesses are increasingly seeking sustainable alternatives to plastic products. In the coming years, the industry is set to experience subdued growth. Despite the challenges in residential building construction, the manufacturing sector’s continued expansion – particularly in food, chemical and pharmaceutical packaging – will likely support steady demand for plastic materials. As consumer preferences continue to shift towards convenience-driven products, particularly in the form of plastic kitchenware, storage solutions and packaging, growth in the retail sector will bolster the industry's prospects. Furthermore, infrastructure projects, supported by government spending, are projected to provide stability for plastic pipe and plumbing fittings product manufacturers. However, challenges will persist, including intensified import competition and growing environmental regulations, pushing the industry to explore sustainable solutions to maintain competitiveness. Overall, industry revenue is forecast to climb at an annualised 1.0% over the five years through 2029-30 to $5.0 billion.

Australia GDP: Growth: Gross Value Added: Industry data was reported at 2.558 % in 2019. This records a decrease from the previous number of 2.789 % for 2018. Australia GDP: Growth: Gross Value Added: Industry data is updated yearly, averaging 2.325 % from Jun 1976 (Median) to 2019, with 44 observations. The data reached an all-time high of 8.371 % in 1988 and a record low of -4.283 % in 1983. Australia GDP: Growth: Gross Value Added: Industry data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s Australia – Table AU.World Bank.WDI: Gross Domestic Product: Annual Growth Rate. Annual growth rate for industrial value added based on constant local currency. Aggregates are based on constant 2010 U.S. dollars. Industry corresponds to ISIC divisions 10-45 and includes manufacturing (ISIC divisions 15-37). It comprises value added in mining, manufacturing (also reported as a separate subgroup), construction, electricity, water, and gas. Value added is the net output of a sector after adding up all outputs and subtracting intermediate inputs. It is calculated without making deductions for depreciation of fabricated assets or depletion and degradation of natural resources. The origin of value added is determined by the International Standard Industrial Classification (ISIC), revision 3.; ; World Bank national accounts data, and OECD National Accounts data files.; Weighted average; Note: Data for OECD countries are based on ISIC, revision 4.

Industry sectors of Local Government Areas in Australia (2001-2011). The variables were derived from 2011, 2006 and 2001 census.

The Professional Services subdivision's performance is largely linked to overall economic conditions, often determining business confidence and capital expenditure. Over the past few years, greater business profit and rising capital expenditure by the public sector have supported subdivision demand. However, construction projects that were delayed or cancelled because of surging construction expenses and labour scarcity adversely impacted several industries, including architectural services and engineering consulting. This factor has dampened overall subdivision performance, contributing to revenue only growing by an annualised 1.0% through the end of 2024-25 to $324.5 billion. This trend includes a 1.6% rise in the current year, as the rise of AI, particularly generative AI (genAI) and sustainability trends, enables higher value-added service offerings. The professional services subsector is shifting towards tech-oriented strategies. Service providers are incorporating advanced tech solutions like AI-assisted data analysis and genAI into operations. This technological integration improves efficiency and service delivery and facilitates innovation. GenAI has also enabled higher precision in services like design, consulting and accounting, redefining service delivery. High-value, tech-oriented services command premium pricing and have contributed to revenue growth. However, these come with inherent challenges. Requiring specialised skills leads to increased operational costs, including training expenses and investments in technology. The increased remuneration needed to attract and retain talent has escalated costs and exerted pressure on profit margins over the past few years. The Professional Services subdivision is forecast to grow over the next few years, driven by sustainability trends and enhanced regulations. As the focus on renewable energies intensifies, demand for engineering consultants equipped with specialist knowledge is set to accelerate. The need for mandatory climate disclosures and ESG compliance also presents growth potential for accounting and advisory firms. Technology is another determining factor that will dictate service offerings' operations, quality and variety. As demand for tech-oriented solutions intensifies, service providers will be more inclined to invest in tech-related expertise, adding value to their service offerings and enhancing their competitive edge in the market. These forces are why subdivision revenue is forecast to expand at an annualised 2.4% through the end of 2029-30, to $365.5 billion.

Like many others like it, the Measurement and Other Scientific Equipment Manufacturing industry has faced significant challenges and opportunities stemming from global trade dynamics and shifting domestic demands. The industry is particularly vulnerable to import competition, with international imports making up more than 90% of domestic demand. The COVID-19 pandemic temporarily disrupted the flow of imports through reduced overseas manufacturing and logistical delays, but imports have resumed their dominance as international conditions stabilised. As imports cover both ends of the market, with high-value offerings from advanced economies like the United States and Germany and more affordable alternatives from countries like China with lower production costs, conditions have remained competitive for local manufacturers. Overall, industry revenue has grown at an annualised 1.2% over the five years through 2024-25 to reach $3.5 billion in the current year, when revenue is anticipated to climb by 1.0%. Over the past five years, the Australian manufacturing sector has experienced some turbulence. Industry manufacturers have sustained their revenue streams through diverse products catering to the healthcare, defence and scientific research markets, benefiting from government spending and heightened R&D efforts. However, the pandemic and economic pressures eroded demand in traditionally strong markets like education and construction. Profitability took a hit, primarily from rising wage and purchase costs, as new entrants increased competition and forced many manufacturers onto lower margins to stay competitive. Going forwards, industry revenue is projected to increase at an annualised 1.6% through the end of 2029-30, to $3.8 billion. Improvements in key downstream markets are forecast to drive revenue growth, particularly in construction, manufacturing, health care and scientific research. Ongoing geopolitical instability will encourage spending on defence, driving demand for specialised equipment like radar and nautical instruments. However, competition from low-cost imports is forecast to remain high, slowing domestic manufacturers' growth.