Ahead of the anticipated imposition of U.S. tariffs this month, Australia's trade balance increased far above forecasts in March as exports rose and imports decreased.

Compared to the A$2.97 billion surplus that was predicted for the previous month, the trade balance grew to a surplus of A$6.90 billion in March. According to figures released Thursday by the Australian Bureau of Statistics, the reading was the highest since November 2024.

A 7.6% monthly gain in exports, mostly from higher shipments of metal ores and minerals throughout the period, was the main driver of the better print. Stronger demand from China drove a 5.4% increase in iron ore export prices, while central banks' increased purchases of gold caused gold prices to rise 12.4% as well. Prior to anticipated U.S. tariff announcements in April, which heightened concerns about a global trade war, the nation—which is Australia's largest trading partner—hurried to import metal ores and minerals.

This quarter, import and export prices increased due to the Australian dollar's depreciation versus the US dollar, according to the ABS. A decrease in imports also contributed to the surplus.  Compared to a 1.8% increase in February, imports decreased 2.2% month over month in March. The decreased demand for capital goods was the cause of this.