Gina Rinehart tops Australia’s soon to be a lot less rich list

As usual, Australian discussion around the political economy is more gawking than it is intelligence. One could never accuse the Rich List of being anything but the former. But this year, especially, its timing is ludicrous. The top two richest, and three of the top ten, are at imminent risk of immense wealth loss:

  • Gina Rinehart $31.06bn
  • Andrew Forrest $27.5bn
  • Clive Palmer $13.01bn

These three iron ore magnates may top the list this year but all three about to see mighty crashes as China slows and iron ore craters. There are many charts I could show you but just one does the trick:

The only divergence in the relationship happened during the 2019 Vale accident which is now resolving.

That’s the cyclical problem. Then there’s the structural, with the CCP determined to end its reliance upon Australian iron ore once and for all via:

  • African and Brazilian expansions.
  • The rise of scrap.
  • The wind-down of urbanisation.

Andrew Forrest has the right idea. He’s running around like a blue-arsed fly buying all kinds of renewable energy assets.

Gina should do the same.

So should Australia.

David Llewellyn-Smith
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Comments

  1. darklydrawlMEMBER

    I can tell you If my wealth crashed from $31B to $10B – I would be ok with that.

  2. Utterly obscene that the AFR is publishing its Rich List in the middle of a pandemic that has killed millions and prompted economic policies that have massively benefited the wealthy at the expense of the poor.

    • Millions die every year from the inequity inherent in our economic system, just as every year the top of the pyramid creams it that little bit more. It’s a feature, not a bug, and therefore it’s no more or less obscene than when they publish it at any other time.

    • It is a good thing, when the guillotines come out it give people a starting point.

      • Anders Andersen

        yeah nah. Sorry Jarrod Australians are all talk no action, so when it comes to guillotines there’ll be nothing to see.

        If you want to see a real protest go to France or an asian country.

      • blacktwin997MEMBER

        Inherited wealth, lobby power, corruption, criminality. Each and every billionaire represents a policy failure.

      • If you look at any rich list, forbes, etc., the old money, the real OLD money, are never on any of them.

      • new money is an interesting call for Andrew Forrest given he is related to the first premier of WA with many political connections down the generations. Gina Rinehart also inherited vast wealth. Both have done well, but they are not rags to riches stories.

  3. According to my sums, that’s $71.57 billion altogether. Hope Labor’s “great reformer” MRRT Gillard gets a cut.

    • Mark HeydonMEMBER

      The MRRT would at least have captured some of this value. Once repealed by the LNP, it brought in nothing.

  4. In case people don’t know, Twiggy wants to become the world’s largest producer of energy – wants to have to have the capability to produce over 1TW of power…

  5. Mark HeydonMEMBER

    It is obscene that $70bn of wealth has been created for these three individuals on the back of Australia’s mineral endowment.
    It is great that they have been able to develop mineral deposits to sell off to the rest of the world and they deserve to be well rewarded for this, but the reward they have reaped is multiples of what they should have been due. The lack of a resources tax with teeth, to capture the value of Australia’s wealth for the benefit of all Australians rather than a select few individuals, is an absolute scandal in my view.
    The politicians and their media enablers who have allowed this situation to develop should be first against the wall come the revolution.

    • blacktwin997MEMBER

      Don’t worry, I’m investigating some reinforced lamp post designs as we speak.

    • Lord DudleyMEMBER

      If a loaf of bread had inherited Lang Hancock’s estate, it would be as rich as Gina Rinehart is today.