Australia strengthens modern slavery penalties after US tariff threat

Australia announced that large companies will face criminal liability and new civil sanctions if they do not prevent modern slavery in their supply chains. Under the amended Modern Slavery Act, firms with annual revenue above AU$100 million must ensure that forced labour or debt bondage is not used abroad, or they risk a new criminal offence and fines. Attorney‑General Michelle Rowland said, “Los australianos esperan, con toda la razón, que los productos que compran no se fabriquen a costa de la esclavitud moderna.”

The move follows a United States warning that up to a 12.5% tariff could be applied to imports from about 60 countries, including Australia, that do not address forced‑labour practices. Around 4,000 Australian firms report annually on anti‑slavery measures, and the federal police investigated 280 modern‑slavery cases last year. The new rules add civil penalties for non‑compliance, aiming to tighten oversight of corporate supply chains.