BHP, the world’s largest resources company, has warned of economic headwinds during the next year, signalling that the sharp fall in commodity prices is darkening the outlook for the world’s biggest miners.
While it predicted that its biggest customer China would grow as stimulus policies take effect, the Australia-based miner expects Europe’s energy crisis, the war in Ukraine and tighter monetary policy to result in an “overall slowing of global growth.”
“Broader market volatility continues and we expect the lag effect of inflationary pressures to continue through the 2023 financial year, along with labour market tightness and supply chain constraints,” chief executive Mike Henry said in a trading update on Tuesday.
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