Mining market in Australia

Australia’s mining sector is a core pillar of the national economy. The country is one of the world’s most resource-rich regions, leading global production of iron ore and lithium. Australia also holds extensive reserves of:

• old
• bauxite
• manganese
• rare earth elements 

Major mining companies are accelerating modernization through autonomous haulage, AI-driven operations, and decarbonization technologies. These trends align strongly with Canadian strengths in METS (mining, equipment, technology and services), cleantech, and sustainable mining solutions. Public and private investment reached CAD 44.5 billion in 2024, supported by national and state policies that prioritize critical minerals development, digital transformation, and supply chain resilience. 

• Complex and lengthy regulatory approval processes, with mature but highly layered permitting systems at both state and federal levels often delaying project timelines. 
• Intense competition from entrenched domestic and global players, including Australian METS suppliers and major multinational mining-tech firms that already have deep market penetration and established local networks. 
• High operating and labour costs, compounded by skills shortages in regional and remote mining regions. This can increase project delivery risks and reduce competitiveness for foreign entrants. 
• Need for a strong in‑market presence. Australian mining companies consistently emphasize the importance of local representation, partnerships, and on‑the‑ground support—something many Canadian firms initially underestimate.
• Persistent supply‑chain vulnerabilities, especially in Western Australia, where COVID‑era disruptions highlighted the risks of distance, long logistics routes, and reliance on timely equipment delivery. 
• Technical standards and interoperability barriers, including differences in electrical and industrial specifications that require product adaptation and can slow market entry. 
• Market dynamics driven by commodity price fluctuations and geopolitical shifts. This can quickly change investment appetite, exploration spending, and procurement priorities across minerals like iron ore, lithium, and coal. 

Australia’s mining sector operates within a highly developed, innovation‑driven business environment characterized by world‑leading production of:

• iron ore
• lithium
• gold
• other critical minerals

The industry is modernizing quickly, with some companies deploying autonomous haulage systems, AI‑driven analytics, and decarbonization technologies across major operations. These innovations are supported by national priorities to secure supply chains and strengthen environmental, social and governance (ESG) performance.  Federal and state governments are shaping the sector through long-term critical minerals strategies and investment programs. In 2023–24, procurement spending across mining suppliers exceeded CAD 161 billion, highlighting the strong role of METS providers.

Across the country, multiple large‑scale and ongoing projects continue to expand Australia’s mining footprint. Western Australia maintains global leadership in iron ore and lithium, Queensland advances major coal and bauxite operations, (and has recently developed a new graphite supply relationship with Japan), and South Australia positions itself as a copper powerhouse—each offering opportunities tied to automation, sustainability, and electrification initiatives.  In addition, public and private capital investment reached CAD 44.5 billion in 2024, reflecting national momentum toward digital transformation, critical minerals processing, and low‑emissions technologies.  This landscape—highly innovative, policy‑aligned, and investment‑intensive—creates strong entry points for Canadian companies offering advanced technologies, cleantech, engineering services, and METS solutions.

Australia’s mining sector remains one of the world’s most productive and technologically advanced. It is driven by strong demand for critical minerals, large‑scale investment, and national priorities around sustainability and supply‑chain resilience.  With ongoing modernization, including automation, AI‑enabled operations, and decarbonization initiatives, the market offers significant opportunities for Canadian firms with strengths in:

• METS
• cleantech
• digital mining solutions
• responsible resource development

Canadian capabilities compliment Australia’s evolving mining landscape, making Australia an attractive and strategically aligned market for Canadian companies seeking long‑term growth.

For more information on the mining sector in the Australian market, please contact australiatrade@international.gc.ca.