Rio Tinto Boosts Australian Economy with $17.7 Billion Supplier Spend

Significant Contributions to Local and Indigenous Businesses

Rio Tinto injected $17.7 billion into the Australian economy in 2024, marking a 9.9% increase from the previous year. In 2023, the mining giant spent $16.1 billion across 5,800 Australian suppliers.

The company increased its spending with local businesses by 14.8%, reaching $1.3 billion. It also boosted its investments in Australian Indigenous companies, with spending rising 27.5% to $926 million. Of this amount, $671 million went to businesses owned by Traditional Owners, strengthening regional economies and Indigenous communities.

Kellie Parker, CEO for Rio Tinto in Australia, emphasized the importance of these local suppliers. She said, “Our suppliers – including Indigenous, small, and regional businesses – are at the heart of our success. Their contributions help keep local communities strong.”

Record Investments in Western Australia and Indigenous Enterprises

Rio Tinto set a record by spending $10.3 billion on 2,400 suppliers in Western Australia. This marks a $1.5 billion increase from 2023. Much of this growth came from investments in heavy mining machinery and infrastructure for the $2 billion Western Range mine, which will open in mid-2025.

The company also reported a 30% increase in spending with Indigenous businesses in Western Australia, totaling a record $769 million. In the Pilbara region, Rio contributed $969 million to local businesses. Sixty percent of this amount went to Indigenous-owned enterprises, including over $529 million spent directly with Traditional Owner businesses.

Major Economic Impact Through Taxes and Royalties

In 2024, Rio Tinto contributed $13.27 billion in global taxes and royalties. Of that, $9.9 billion went to Australia. This includes $5.8 billion in corporate tax payments, underscoring the company’s critical role in Australia’s economic landscape.