Australia demonstrated its capacity to escape the worst of the global downturn yesterday, reporting its largest monthly trade surplus in more than a decade and its second largest ever with the help of a surge in mining exports.

Exports rose 6 per cent to A$24.6bn ($19bn, €14bn, £11bn) in August, with coal exports rising 26 per cent, iron ore 5 per cent and rural goods 4 per cent. Tom Albanese, chief executive of Rio Tinto, the mining group, was upbeat yesterday about continuing strong demand from China for minerals.