As Australia prepares to enter 2026, the events of the past year offer important lessons about global volatility, resilience and adaptation. From shifting trade relationships and tariff uncertainty to accelerating climate impacts and the rapid rise of artificial intelligence, 2025 underscored the need for preparedness, diversification and long-term thinking; particularly for agriculture and regional industries navigating an increasingly complex global environment.

15 December 2025

Insight from: Robbie Sefton

As we make room for our Christmas trees and prepare to ring in 2026, let’s take a moment to reflect on the year that’s almost passed. Hard to believe 2025 is almost behind us, but it will remain in our memories and be committed to the annals of history for many reasons: elections here and abroad, natural disasters, conflicts around the world, trade wars, the environment, new world leaders, medical and scientific breakthroughs, milestones and in-memoriams.

Here in Australia, our political landscape was marked with a federal election in May, one that saw Labor returned and the Coalition asking ‘where to from here?’. On the other side of the world, four months earlier, the US inaugurated a new president, with Donald Trump returning to the White House and initiating a period of global uncertainty through the likes of massive tariff increases for a whole raft of countries, including Australia. Tariffs on Australian beef and steel created shockwaves across the country, although many other nations were hit with higher financial penalties. While negotiations are ongoing on steel and aluminium tariffs, the ag sector had a win earlier this month when the US lifted tariffs on beef and other food imports.  

It followed July’s lifting of trade restrictions on US beef coming into Australia which came in for criticism from the industry, concerned about the implications for the nation’s biosecurity status. The Trump tariffs are yet another reminder nothing can be taken for granted, particularly when it comes to overseas markets and trading partners, and that the identification of new markets and new trade opportunities must be ongoing in order to spread the risk. It makes the ongoing negotiations around a free trade agreement with the European Union all the more critical, with reports in recent weeks indicating a deal could be made early next year – what a start to 2026 that would be.

The environment continued to make headlines, and the steps being taken by nations to reduce emissions remained a focus. Catastrophic wildfires around Los Angeles, flash flooding in Texas and cyclones and floods much closer to home added to the concerns about the world’s changing climate and the reduction of future impacts. In July, news outlets reported natural disasters, like Cyclone Alfred, in the first six months of 2025 had cost Australia $2.2 billion. An enormous economic impost, but far worse is the human toll; the trauma and loss for affected communities, residents, businesses and primary producers far harder to calculate. More of the same is no doubt inevitable in 2026 but with every disaster we have to hope policy- and decision-makers are making us better prepared to deal with the aftermath.

Artificial Intelligence (AI) was certainly an ongoing headline this year, too, and while concerns around its utilisation are still loud, and understandable, we are also, I think, coming to appreciate the many products and services it currently supports and which make our lives far easier. For agriculture, AI is going to be one of those generational game-changers that will drive ever-increasing productivity, sustainability and efficiency, but it doesn’t come without potential risks and many questions. In 2026, I hope education around AI technologies ramps up, helping reassure producers and addressing important issues like the security of data storage.

A famous saying goes, ‘The farmer has to be an optimist, or they wouldn’t still be a farmer’, so on the eve of a new year, let’s be positive about what’s to come and know we’re strong enough to handle the challenges. Wishing everyone a happy Christmas and best wishes for 2026.

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