After a long a traumatic year it it hard to believe that we are coming close to summer again. This year has truly been one to forget. With all that has been going it is so great that we will finally have some warmer weather to enjoy. We will finally be able to go out a little and maybe even visit the beach. Although the government is talking about restriction that will be in place when we do visit the beach you will still want to look good. So the time to shed come of that isolation fat is now. What better way to do it than to get yourself some jigsaw gym mats.
Sometimes when you want to get back into training it is easy to be a bit too eager. That eagerness can lead to injury if you are not careful. Just the other day I went for a run and right away I got cramps in my legs. Unfortunately in my eagerness to go for a run I didn’t do any stretching. What a mistake that was. The smart thing to do would have been to pull out my jigsaw gym mats and to do some stretching. Usually what I do is a bit of skipping to begin with and then stretch it out. Then I can get stuck into all the other exercise I like to do.
The truth is that using jigsaw gym mats is a good idea. It is alway good to use some kind of training mats when you are doing exercise. When I was younger I could get away with it but now that I am getting old I find that I need to take care of what I do. I need to be more mindful of protecting myself from injury. There is no use starting a pre-summer training regime only to get injured and have to stop training. It is the worst thing that can happen to you. Believe you me I know.
Also included in our new shipment will be woodgrain EVA mats. Our woodgrain EVA mats are designed to be complement your homes decor by blending in. As the description would suggest the mats come with a woodgrain finish on its vinyl surface. The centre of the mats is EVA and has a rubber non-slip bottom. The non-slip bottom is great for reducing slippage when used on a smooth surface such as timber flooring.
At Direct Mats we are looking at increase gradually increase our range of EVA mats and protective flooring over the coming year. Even though we currently have the largest range of protective flooring solutions in the country we would like to continue to add to our extensive range.
We have training flooring specialist available to give you the advise you require for your flooring needs. If you have any questions don’t hesitate to call us and we will do the best to help you find a solution.
Direct Mats is a premium supplier of training mats in Australia.
The Serbian super star tennis player is out of the US open due to a default in his fourth round clash with Pablo Carreño Busta. Novak Djokovic was booted out of the 2020 US Open after he smacked the tennis ball into a lines person’s throat. The poor lady cried out and fell to the ground clutching her throat after the shot with Djokovic running over to check on her. It was all too little too late after the umpired ruled it unsportsmanlike behaviour and gave him his marching orders.
It was a huge pity for Novak Djokovic as he had a real chance of winning the open and closing the gap of most grand slams won with Federa (20) and Nedal (18). Back luck I guess but I am sure he will have another chance in the future. Novak Djokovic has won $140 Million in prize money to date so the fine of $250 thousand should have too much of an impact. He stood to win millions had he won the tournament. At least some other lucky person will have a shoot at it now.
So what next for Djokovic?
Well he is likely to get back on the jigsaw tatami mats to continue his training. Whilst the bulk of his training takes place on the tennis court it can only be assumed that at least part of his fitness regime takes place on jigsaw tatami mats. Indeed the ATP considers such anti-fatigue mats to be an integral part of training equipment needed to minimise injury to its players. Being an elite athlete it would be of no surprise if Novak Djokovic used tatami jigsaw mats in his training.
Whilst some people consider such mats only to be jigsaw martial arts mats, the truth is that they can be used for more than just martial arts. Indeed you will find jigsaw tatami mats being used by a large section of the training community as a means to reduce fatigue. This is especially true when elite athletes are involved because they train for such a large portion of their lives.
We are happy to announce a new shipment of puzzle mats and jigsaw mats to our brand new Melbourne warehouse. For those of you that haven’t yet heard Direct Mats recently move to a new warehouse in Braeside which is bigger and better than anything we have had to date. With our shinny new warehouse we will be able to stock a larger range of jigsaw mats and puzzle mats. Although we were already the largest stockist of training mats in Australia, we will now be even bigger.
Having a larger range and move stock of training mats will mean lower waiting times for our customers. A lot of our customers are professional organisations that are setting up training areas. It is not great when they have to wait for their puzzle mats or jigsaw mats. Setting up a business can be stressful so finding out at the last moment that there are no mats available in the market can come to s surprise. To lessen the stress involved we hope that having more mats available will mitigate this problem.
What’s Coming with the shipment?
Our new shipment of mats will consist mainly of jigsaw mats and puzzles mats. With follow up shipments we will also be bringing in more tatami mats and yoga mats. We even have some professional MMA mats coming from Germany. Whilst jigsaw mats and puzzle mats are our most popular items we like to have a broad range of products to satisfy our customers. As the say “the more the better”.
Our aim is to make Direct Mats the go to place for mats in the Australian market. Training mats are an important component to any training regime so we want to improve access to training mat for all Australian. Especially during this virus crisis when people are training more at home.
The are truly challenging times. What started as a great year quickly turned to dust when first we experience the bush fires that ravaged so much of the country and the the Wuhan virus, or covid-19 as it is also know, came to our shores. Since then life has not been the same. Many of the shops are still closed. Restaurants are closed. As too are gyms and other businesses. Sure some have opened but many more are closed than open. It has made life a lot more difficult. Puzzle mats are great EVA mats during covid.
Hopefully, though, things will change. There is some light at the end of the tunnel. They keep talking about new vaccines and treatments which will allow life to get back to normal to some extent. People yearn for a better life which is why it is always important to be positive. What has also been great is that people haven’t had to completely have to disconnect from their previous lives. They have been able to find ways to survive in a pandemic era. Like training at home.
Popular Mats During Covid
Since the start of the pandemic we saw an upsurge in demand for puzzle mats. Puzzle mats have been a way for people to continue training even though gyms and other physical activities have had to shut down. By buy puzzle mats, or EVA mats, the masses have been able to train at home and keep fit in the process. Whilst it is always great to be able to share your activities with other, learning to adapt at home is a natural alternative.
It hasn’t just been puzzle mats and EVA mats that have been popular. People have also been buying heaps of gymnastics mats. Gymnastics mats, especially the 3-fold mat, are another great way to do your training. Not to mention that yoga mats have been going through the roof. I guess people have been been taking up activities that they can do alone at home or in front of the TV. Who know? One thing I know for sure is that there has been an increased popularity for EVA mats, puzzle mats, gymnastics mats and yoga mats.
Image showing: Puzzle mats are great EVA mats during covid.
In a couple of months we have gone from living normal lives to total lock down. It has been an absolute disaster. This corona virus which originated in Wuhan China is having a massive impact in Australia and the world. Measures which have been designed to combat the virus have caused thousands of businesses to shut down. This has included restaurants, gyms and other training centres like martial arts schools for BJJ, tae kwon do and kung fu etc. The lock down has been designed to limit social contact and therefore halt the spread of the virus.
Fortunately for everyone the government is looking at easing the restrictions to allow life to slowly return to normal. To open though, businesses will have to take measure to ensure the safety of their staff and clientele. Amongst those measure will be the availability of hand sanitiser. Hand sanitiser is a great product and is designed to kill germs and viruses on contact. It is that reason that it is believed to be effective against the corona (wuhan) virus or covid-19 as it is also know.
Direct Mats now have hand sanitiser available for its customers. We have 5L and 500ml bottles of hand sanitiser available for purchase. We supply hand sanitiser to a variety of businesses including bottle shops, hair dressers, construction companies etc. We martial arts schools eventually come back it will needed as hand sanitiser is especially good if you plan on doing contact sports (with government approval) such as judo and BJJ.
As well as the hand sanitiser we also have a great supply of gym mats and training mats. If you are looking to setup a home gym or replace your existing old gym mats we have the mats you need. We have container loads of mats arriving all the time to satisfy the needs of our valued customers.
Acrobatics is the performance of extraordinary human feats of strength, balance, and agility. It can be found in many of the kinds of performing arts, sporting events, and martial arts. Acrobatics can include all sorts of stunts such as tumbling, rolling around on the ground like a clown, jumping up and down like a cuckoo head and all sorts of things. Acrobatics is very similar to gymnastics except that it is not a competition sport and is more for entertainment. As such there is not so much an emphasis on perfection as there is on impressing the audience with your antics. Acrobatics mats versus fitness mats.
Fitness on the other hand is just a bunch of exercises that you do to keep fit. Being fit is the capacity to do vigorous activity without clonking out. So if someone has a good fitness level than it means that they are able to do lots of physical stuff for longer periods of time than someone who is unfit. To get fit one needs to do lots of exercises which is why they also call gyms fitness centres. That is they are places that you go to to do fitness related activities designed to get you fit. So you do these exercise to improve your cardio abilities.
Regardless of whether you do fitness or acrobatics chances are you will need some mats. The mats are designer to help you training longer in your chosen activity. So if you do fitness training you will probably want to get your hands on fitness mats. If you do acrobatics then you would probably want to get your hands on some acrobatics mats. Whilst they might both be mats what kind of mats they are depend on what you plan on doing. Both acrobatics mats and fitness mats come in a variety of options. This is good because I reckon you might need a few different options to satisfy your needs.
With acrobatics mats I reckon you might was something thicker although it is entirely up to you. If you are going to do acrobatics training then presumably you now what you are in for. We have EVA mats which are a good choice if you are going to to tumbling and stuff. If you are going to do somersaults then you might want to consider crash mats. The impact of doing a somersault on EVA mats and falling badly might cause you some horrific injuries if it doesn’t go well. On the other hand falling on thick crash mats might lessen the impact which is something you would want.
With fitness mats I would say that an EVA mats would be sufficient. So long as you are not using some kind of equipment such as the Ninja Warriors then you should be fine. Those Ninja Warriors are crazy guys that climb all sorts of things which are crazy. Fitness guys just need a nice mats such as an EVA mat which will take away some of the impact and allow them to training longer. Sometimes they even use rubber mats which you would have seen in gyms all over Australia and the world we live in.
The Aussie Dollar declined for the 3rd week in a row, although the range was limited to 57 points.. The RBA meeting revealed in their minutes that they had considered a rate cut on Melbourne Cup day, but then decided against it. That why we are having a market watch training mats.
This in turn increases the chance that they will cut rates next week, although it is not yet know. Hopefully they won’t cut rates as it will have a negative impact on the Australian dollar and therefor the price of training mats such as EVA jigsaw mats and gym mats. Every time the dollar falls it again puts pressure on training mats pricing.
The problem is that it is not only the Australian economy that is having trouble. The OECD predicted that the worldeconomy would grow at just 2.9% this year, which is its weakest growth rate for over a decade. The richest countries also forecast little improvement in growth over the next two years. It blamed, among other things, political uncertainty and the Sino-American trade war, and called for clearer climate-change policies.
What they should really be blaming is their own structural problems which they have failed to address due to political gridlock. In this environment the price of training mats will surely continue to suffer. Luckily people have a high tolerance too pricing as they just like to train.
The kind of training mats that will be effected if the Australian dollar were to fall would be:
So pretty much all kinds of mats. The best way to mitigate this would be to buy your mats now. Otherwise you can buy them as you need them with the knowledge that you have some pretty good suppliers in this country like:
Southern Cross Mats
With suppliers like the above servicing the national market you can’t go wrong.
Not long ago I created a page stating that our mats are not Zebra Mats. The reason I did that was because Zebra Mats have almost become a generic term due to their popularity. They have been around for a long time. These day people are just as likely to say they need to get some Zebra Mats or German MMA Mats for their gym and they would just use the generic term of MMA Mats.
So it is understandable that a person could confuse the two. It is much the same as people used to refer to vacuuming as hoovering in the past, or gyprocking instead of dry-walling. So in that context would could understand where I am coming from on the issue.
German MMA Mats
Whilst MMA mats can be said to be all the same the reality is not quite that simple. Yes it is true that a MMA mat is an MMA mats but there might be some differences. Like our National Sales Manager say, “They are like a Mercedes and a Holden. They will both get you there”. That is a very true statement. They are both great for training MMA. The specs are the same. The material is very similar. The main difference is that Zebra Mats, as far as I know, are made in Germany. Our MMA mats on the other hand are made in China just like all our mats.
Chinese MMA Mats
There was a time in the past when things made in China were considered inferior. That is quickly changing. These days even Mercedes cars are made in China to the same specs as they are in Germany. The level and quality of equipment available to factories in China now is almost on par with factories in the West. All of this means that the products themselves are catching up.
On the flip side you have wage differences. It used to be that wages in China were much lower than other countries which made their manufactured goods also much lower. This too is changing. A wages in China increase so too has the price of manufactured goods.
So as the above shows it is that there has been a convergence between what is made in places like Germany and China. With martial arts mats there is no exception. They are catching up in quality, if that haven’t caught up already. You still have a chance to benefit from the lower prices that are still available. Booyah!
Markets fluctuate for everything. Prices go up and down for all sorts of goods depending on supply and demand. It is simple mathematics. If you have more of any particular good then you can sell then that will inevitably drive down the price of that good as you try and sell it. If demand is higher than supply than you would be comfortable putting up the price of that products as you know that chances are that you will be able to get more money for it than before. Also you will be keen to sell it for more because you know that when you go to replenish your suppliers there is a chance that it will cost you more to replace them.
These are the economic fundamentals that every company and indeed individual needs to live by. Obviously companies need to make money and individuals need to survive. So they nee to keep track of what things cost such as EVA Mats and Foam Mats. Just like any other product the price of EVA mats and foam mats is determined by supply and demand. If the factories are producing more of these training mats than the market requires then the price will fall. If they produce less then the opposite will happen. The chances are that the factories will only produce mats when they are sold so this will rarely be why the price has moved.
The other factor effecting the price of manufactured goods such as EVA mats and foam mat is the price of commodities. If the price of the inputs materials goes up then this will effect the price of the finished product. So for example the price of oil might effect the price of EVA mats because EVA is a petroleum by-product and therefore is tied to its price. Other things that might effect it are currency fluctuations. As most manufactured goods made in Asia are calculated in USD, should its price change compared to the Aussie dollar then that also could have an effect.
So as you see when looking at the price of EVA mats and foam mats it is clear that they are influenced by many factors. The moral of the story is that if you see them fall in price and you need some then buy them then and there.
I don’t know if you remember the old ad that they had running back in the eighties called, “Life be in it”. There was that fat guy Norm sitting in his chair and he was being encouraged to go and do some exercise. They were encouraging him to get out and play with the kids, go for a walk, do some exercise etc. He didn’t even need to have training mats.
The purpose of the ad was to encourage people to get active so that they could improve their health. It was a great ad and I am sure that there are plenty of people out there who remember the ad. I for one do and it still plays on my mind to get out and do some training.
How have things changed?
I reckon these days they should be doing more of those ads. Maybe they could change them a bit and tell people to get some training mats and do so exercise. Sure I would have a vested interest in people buying training mats and getting out and doing some training. I mean people would buy more mats such as;
I mean wouldn’t it be great if they did actual get themselves some training mats such as these, got off their backside and did some training. It really wouldn’t matter what they were training for. They could be training for the City to Surf, they could be training for the Olympics, they could be training for anything they could think of.
The main thing is that they would be training for something and in the process they would be improving their health. Not much can be gained from sitting on ones bottom and just watching television all day long. You might be able to make a nice indent in your arm chain, but that is pretty much it.
Using training mats, whether they are jigsaw mats or any other mats is just the start. After that the sky is the limit. They best thing about choosing to use training mats is that you know you will train for longer. So by being smart and planning you training you can extend your training life. This means reducing injuries and generally having a better training life and have a life full stop.
Israel Adesanya made headlines by knocking out Robert Whittaker with a right hook-left hook combination at 3 minutes, 33 seconds of the second round in the main event of UFC 243 in Melbourne, Australia. The fight took place on Saturday before a huge crowd of 57,127 spectators.
Adesanya Rising Up
Adesanya has now unified the middleweight title with the stoppage victory against Whittaker. Although Adesanya was a favourite to win he was not a heavy favourite considering Whittakers reputation. Israel came in as the interim champion, and Whittaker was the lineal champion (I would explain the different but not now. Maybe next time).
Although the left hand that connected sent Whittaker flying across the mats, you can expect him to be back on his on his EVA jigsaw mats in no time training for his next fight. he might even fight Israel again at some point in a rematch.
The Role of EVA Jigsaw Mats
One would certainly hope that Whittaker will be given another chase at the title. He spent hours in the gym on eva jigsaw mats training for this fight. He will surely spend many more on jigsaw mats training for any future battles he may have in the UFC or any other MMA competition.
Indeed eva jigsaw mats and jigsaw mats in generally are the favoured mats of champions. You will practically find EVA jigsaw mats in almost ever MMA and martial arts gym out there. Whilst they may also use other kinds of gym mats EVA mats are popular because they are easily replaced and inexpensive.
As you can imagine most MMA gyms would have heaps of people coming in and out and high volume of practitioners. For that reason it makes sense to have mats which can withstand the test of time.
There seems to have been a resurgence or gyms lately especially with the advent of the 24 hour gym. Indeed 24 hour gyms are all the rage at the moment and have really taken away a lot of business from regular traditional gyms. Traditional gyms are struggling nowadays because people want flexibility away from all the contracts and nonsense. I mean how important is it to be able to buy a protein shake from the gym bar when all you need is a vending machine with some water and juices. Even though the format of gyms is changing lots of the fundamentals have stayed the same.
Foam Mats & Rubber Mats
Even though some things have changed there is one thing that hasn’t – the need for foam mats. Although you will still find carpet in the main areas and rubber mats under the weight you will still find foam mats in almost ever gym. That is because almost every gym still needs to have an aerobic type of train area. Any time you have vigorous activity happening you need to have some foam mats to lessen the impact. Gym owners know that the training public demands it and of course the customer is always right. Plus there is the added benefit of reducing the impact of training so the gym users can keep coming back
The most common form or foam mats are jigsaw mats. Jigsaw mats are the most popular form of foam mats because they can be easily installed and they are inexpensive. They are also easy to replace if one of them gets damaged, instead of having to replace them all. The other alternative would be to have a patch where something has happened which would look unseemly. Jigsaw foam mats have been around for ages simple because they are so convenience and gyms were amongst the first to embrace them.
Although gyms were amongst the first to embrace foam mats they are not the last. You can bet that you will see them wherever you go for years to come yet.
In the world of fight there are a heaps of different martial arts and most of them are traditional. Some martial arts are modern like Krava Maga, the Israeli martial art, and Sambo from Russian, but the vast majority are traditional. In saying they are traditional martial arts I mean that they have historical significance which sometime includes ceremonial aspects. These traditional martial arts come from everywhere including Korea, China, Japan, Indonesia, Vietnam, France, Africa and so forth. Every tribe and people it would seem has a traditional form of fighting.
Two of the traditional martial arts from Japan are karate and jiu-jitsu. Both of the martial arts are traditional and both of the arts require some kind or training mats as part of their training. Jiu-jitsu requires jiu-jitsu mats and karate requires karate mats. Whilst both these arts are similar in that they are both from Japan and both require martial arts mats for training, this is where the similarities end. Whilst they might have these two things in common essential they are different which is reflected in the type of mats they use for training.
Karate means empty hand in Japanese. Essential karate is a form of unarmed combat. Saying that it does have some weapons but they main focus of the art is hand to hand fighting. The art uses kicks and punches to defeat an opponent. There are some throws involved but they a just rudimentary. Karate is thought of as a hard style due to the yelling and such but a good and seasoned fight is in tune with both his / her mind and body. The hazard in karate is in getting hit and falling to the ground which is why having karate mats is so important. Karate mats help reduce the impact with the ground therefor minimising impact.
Karate guys like these mats
In karate the kind of martial arts mats used is usually jigsaw mats. The jigsaw mats are made from EVA which is a closed cell mats. There are schools of karate that use traditional tatami mats. But you usually find them in places like Okinawa in very traditional schools. These day the karate mats being used tend to be jigsaw mats. Also karate mats tends be 20mm jigsaw mats or at the most 30mm jigsaw mats as they offer enough protect from falls but don’t inhibit stand up training. The 40mm jigsaw mats tend to be used by grappling arts that do most of their training on the floor.
This brings us to jiu-jitsu. Jiu-jitsu is also a traditional Japanese martial art. Jiu-jitsu, or jujutsu as it is also know, means “gentle art” in Japanese. This is because it endeavours to take a soft approach to self-defence and uses minimal strikes like punching and kicking. Jiu-jitsu, or jujutsu, mainly uses throws and submissions to subdue an opponents. The aim is to have the opponent to submit without getting hurt or causing injury to the victim of the attach, the jiu-jitsu practitioner. Even though it is referred to as the gentle art there is still a chance to get injured during training which is why jiu-jitsu mats or jujutsu mats are required for training.
The best thicknesses to use
As mentioned before the type of mats required my karate and jiu-jitsu are different. With jiu-jitsu there is an emphasis on throws just like in judo. The need to practice throws means that there is a need for jiu-jitsu mats to be able to offer more protection during training. For this reason jiu-jitsu mats are usually 40mm thick or more. Sometime 40mm jigsaw mats are used but more often they are tatami mats. Tatami mats have the traditional tatami finish. They come with an inner compressed foam and an outer vinyl cover. The thickness of the jiu-jitsu mat means that there is less opportunity for injury during training which is what makes them so good for this kind of training.
It is hard to believe that something that happens half a world away could effect jigsaw mats pricing in Australia. Just as throwing a stone on a lake can have a ripple effect so can the political gyrations in another country have an effect on what happens right here. When there is a major event overseas it inevitable effects the markets and all the markets are intertwined. That explains why the ASX will go down after a major down turn in the Dow Jones or Nasdaq. So it is not inconceivable that such an effect can be had on the market for jigsaw mats or MMA mats.
In Europe yesterday the markets were hit with the news that Giuseppe Conte, Italy’s prime minister, resigned after a rival tabled a no-confidence vote against him and called for new elections. With the Northern League surging in the polls, fresh elections could be held if a new coalition government cannot be formed. The political turmoil in the Eurozone’s 3rd largest economy (Italy) could further dent fragile confidence in the European economy.
The European block is the world’s largest economy so should things turn sour there then you can bet your bottom line that that will reverberate throughout the entire world. Even the market for jigsaw mats and MMA mats.
So what can we expect the effect to be on jigsaw mats and MMA mats? Well as with all martial arts mats, jigsaw mats are produced using closed cell EVA. This is why they are also often referred to as EVA Mats. Should world events have an effect on commodities then they will also have an effect on EVA mats as the material used to make the mats is a tradable commodity.
When supply chains are effected
So if the markets somehow effect the supply chains, such as Trumps trade war with China, then it is not hard to imagine the effect it would have on jigsaw mats and MMA mats. So when you hear of something happening in Italy like political turmoil, or protect in Hong Kong, then logically your thought should focus on what effect those events might have on markets that you rely on.
Some like Direct Mats rely heavily on the markets for the raw materials used to make jigsaw mats and MMA mats. So it is only natural that they would keep track of these events to understand how they might effect their business and give them a chance to plan ahead.
Home gyms are a wonderful thing to have. They give you the freedom to training when ever you want and how ever you want. You don’t have to worry about sweaty equipment left behind by the grubs that frequent these gyms, dirty towels all over the place and machines being used when you want to use them. Sure the proliferation of 24 hour gyms helps but with cheaper gyms come more of the above. So doing it yourself is a great way to go. The best thing is that you don’t have to be loaded to be able to do it. People from all demographics have access to great gym equipment to buy.
Get Some EVA Mats For Your Gym
That is why people opt to have their own home gyms these days. Sure there are draw backs with have a home gym. Firstly you need to have the space. Secondly you have to fork out for all the equipment. But despite the draw backs people are still aiming for having just that. And these days you don’t have to be a millionaire to have your own home gym. The most important thing is that you have some MMA mats or EVA mats to start with. It is important to have some good MMA or EVA mats in your home gym because you want to start off doing things right.
Something to fit your budget
When thinking about the best equipment for your mats should be the first thing on your mind. With MMA mats and EVA mats there are a few things you should be looking out for. Are they good quality? Will they last long? How much do they cost and will they fit within your budget? These are all things that you should think about before you embark on fitting out your home gym. If you pick the wrong MMA mat or EVA mat then you might regret it. So chosing the right mat and taking the time out to get the best training mats for your gym is always worth the effort.
There has been volatility in the markets of the last week due continued trade friction between the two largest economies. The devaluation of the RMB by the Chinese Central Bank also sent shock waves through out the world markets. The result of which were a fall in the AUD and general volatility in the stock market includes the market for jigsaw mats. The fluctuation in the value of the AUD in particular has had an enormous effect on the sale of jigsaw mats, most of which come from overseas and are valued in USD.
Furthermore, the RBA cut its growth forecasts for the Australian economy for this year to 2.5% and reduced its expectations for 2020. It also pushed out the date for which it expects inflation to return to target. The RBA has already cut interest rates by 0.5% and the door was left open for further cuts. The market factoring in further easing in November and February, which could see the interest rate cut to a historic low of 0.5%. The current rate is 1%.
Donald Trump again rattled markets by saying that he would impose an extra 10% tariff on $300billion of Chinese imports from September 1st. The new tariff is on remaining goods that had not yet been targeted by Trump. This came after two-day talks between American and Chinese negotiators ended with little signs of progress.
The next round of meetings is scheduled for September so there will be some wait before there is any more negotiations on the matter. The news shook financial markets with stocks dropping in both the US and globally. In Australia the AUDUSD is traded below 0.68 for the first time in a decade.
The Drop in the USD is good news
The drop in the value of the AUD is not good news for Australia. Although it makes exports cheaper it has the opposite affect for imported goods. Unfortunately Australia is not strong in manufacturing so it is not like there is going to be a sudden boom in goods export. Our farmers might benefit a bit but there is no real benefit overall. It is not like manufacturing countries like Germany, China or the USA who see tangible benefits when their currencies depreciate.
So what can we expect from the latest depreciation in the AUD? We can expect the price of gym mats to go up. Gym mats and other training mats such as MMA mats, tatami mats and jigsaw mats are manufactured overseas. These mats are mostly manufactured in China and are then shipped to Australia. They are also priced in USD which means that any change in the exchange rate has an effect on the cost of gym mats when they arrive here.
Other goods will be effected as well
Gym mats are not the only goods which are effected my a fluctuating exchange rate. Other goods such as cars, furniture and TVs are also effected.
So Trumps latest tariff is sure to have a negative effect on the Australian economy. This is why the markets have reacted in the way they have and punished the Australian Dollar. As Australia is highly dependant on the Chinese for exports it is assumed that any negative effect on China will translate into a negative impact here.
What they don’t realise is that when America attacked Chinese exports and by extension their manufacturing sector the Chinese just invest more in infrastructure which which requires the minerals that Australia sells. Once they realise that then things will go back to normal.