Unintended consequences - this is really hurting who?

The trade war started by China against Australia is escalating; however, Xi Jinping has seriously underestimated the consequences of his actions. The intention is to subdue Australia into submission, the Chinese government view is they cannot succeed as this undermines Chinese prestige around the world. 

This is really a case of the rule of unintended consequences, Winnie the Pooh might be achieving his political aims, the economic losses are mounting. China does not wish to be questioned by a much smaller nation in terms of population and economic size. This is very much an embarrassment to the CCP. 

Yes, industries are hurting from barley, lobster fishing to wine, this is devastating to the people employed in these industries. This is off-set by iron ore exports with the iron ore price rising to seven year highs. This is affecting Chinese steel mills, yes, their output has increased as they recover from their Covid-19 downturn.

The Chinese construction industry faces increasing costs, China has increased iron ore imports from higher cost suppliers with lower grades. Now Chinese industries are being hurt, costs are increasing and from an Australian government revenue perspective, this is increasing taxation receipts and decreasing pressure on government revenues - well played.