Australia criminalizes modern slavery in supply chains

On July 16, 2026, Australian Attorney General Michelle Rowland announced new legislation making large companies criminally liable for modern slavery in their supply chains. Companies with revenue over A$100 million will face criminal charges if they fail to prevent forced labor and debt bondage outside Australia. The move follows a U.S. threat to impose a 12.5% tariff on Australia for insufficient action against forced labor imports. Australia's embassy had protested the U.S. Trade Representative's listing of Australia among 60 countries subject to the tariff. The new law includes a defense for companies that take reasonable steps to prevent slavery and introduces civil penalties for non-compliance with existing obligations under the Modern Slavery Act. Australian Anti-Slavery Commissioner Christopher Evans noted Australia had fallen behind other countries, while Justine Nolan of the UNSW Faculty of Law and Justice said the changes were significant and likely correlated with the U.S. tariff threat.