Ports Capacity and Connectivity

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Australia’s ports underpin national productivity and export competitiveness, connecting producers, freight networks and global markets.

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Maritime Ports: Bulk

Australia’s bulk ports^viii are among the largest in the world, supported by world-class supply chains and rail infrastructure. The Port of Port Hedland and Port of Newcastle are the world’s largest export hubs for iron ore and coal respectively.^60,61 Western Australia, New South Wales and Queensland collectively capture 86% of Australia’s export trade by value, and 95% by volume.⁶²

Iron ore and coal are Australia’s top commodity exports⁶³ and the two largest bulk freight flows by rail.⁶⁴ Export volumes for iron ore and coal are projected to rise modestly over the coming years,⁶⁵ although Australia’s bulk ports face a shifting global landscape, shaped by evolving trade patterns, decarbonisation efforts and changing demand from key international markets.

Commodity prices for iron ore and coal declined by 17% and 24% respectively between 2023-24 and 2024-25 and are forecast to fall further by 2029-30.⁶⁵ This reflects broader global trends, including reduced demand for fossil fuels and increased supply of iron ore, particularly as Chinese imports are expected to gradually decline.^66,67

Diversifying port operations

Table 10 highlights the scale and concentration of Australia’s bulk export activity on iron ore and coal resources. Many of Australia’s major bulk ports report export volumes where a single commodity accounts for up to 100% of total exports. Long-term energy transition scenarios will require bulk-port diversification to new commodities such as critical minerals and hydrogen. To respond to shifting demand patterns and aging infrastructure, targeted investment is needed to maintain efficiency, unlock future export opportunities and support diversification of port uses.

**Table 10:** Australia’s major bulk export ports^ix and commodities
Port	State	Export volume TOTAL (2024-25) *	Key export commodity*	Export volume of key commodity (2024-25)*	% of total export volume (2024-25)
		(million tonnes)		(million tonnes)	(%)
Port Hedland	WA	576.2	Iron ore	569.8	99
Port Walcott	WA	Unavailable	Iron ore	Unavailable	-
Dampier	WA	171.3	Iron ore	147.1	86
Newcastle	NSW	149.8	Coal	145.9	97
Hay Point	QLD	96.2	Coal	96.2	100
Gladstone	QLD	96.3	Coal	64.3	67
Abbot Point	QLD	34.0	Coal	34.0	100

*Information extracted from respective port documents

Strategic planning is underway for some of Australia’s bulk ports to diversify operations and support Australia’s energy transition. The Port of Newcastle is developing a Clean Energy Precinct at Kooragang Island, aiming to generate more than 50% of its revenue from non-coal sources by 2030. The Port of Port Hedland is expanding into emerging export markets through the development of a multi-use facility and logistics hub at Lumsden Point, which is supported by an Australian Government funding commitment of $565 million for common user port upgrades. This project will support battery metals exports and import of renewable energy infrastructure, which will leverage established connectivity to the Pilbara, enhance trade capacity and diversify exports for the Port of Port Hedland.

Further planning for some of Australia’s major bulk ports should be considered to support opportunities in relation to the energy transition, particularly for the Port of Hay Point and the Port of Abbot Point, both in Queensland, which operate as dedicated coal ports. The recent master plans for the Port of Hay Point and Port of Abbot Point identify opportunities to support emerging industries (including renewable hydrogen) and trade diversification,⁶⁸ however they do not establish specific commitments or targets regarding a transition of port operations beyond their current coal-export focus to realise these opportunities.

Upgrades at the Port of Newcastle, Port Adelaide and Port of Gladstone are captured in the 2026 Infrastructure Priority List within the Delivering Net Zero and a Clean Energy Economy section. These upgrades would support the movement of oversized renewable energy components between ports and Renewable Energy Zones, ensuring large-scale projects can be delivered to help meet net zero targets.

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viii Bulk ports are specialised ports that handle the bulk movement of liquids and solids, largely for oil, gas, mining and agricultural sectors.

ix Top 7 Australian ports with the largest weight of Australia’s international sea freight exports over the last 10 years according to BITRE Australian Sea Freight 2023-24, Table 1.4