Exports and imports

Free trade agreements

Australia has built an extensive network of free trade agreements to boost cross-border trade, investment and economic cooperation. These agreements reduce or eliminate tariffs within their scope of coverage and streamline regulations for exporters, importers, producers and investors. There are more than 15 bilateral FTAs in force, including with the United States, United Kingdom, Thailand, Singapore, New Zealand, Chile, India, Malaysia, Korea, Japan, China, Hong Kong, Peru and Indonesia.

Australia is also a party to various multi-state FTAs including:

• the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CHTPP) (which Australia currently chairs) with many countries with whom Australia also has bilateral FTAs). The CHTPP which incorporates the many of the terms of the Trans-Pacific Partnership Agreement (signed but not in force);
• the Pacific Agreement on Closer Economic Relations Plus, being a development-centred FTA, and;
• Regional Comprehensive Economic Partnership Agreement with countries in the Indo-Pacific region;
• and on the date of publication, is in negotiation with the European Union on a FTA.

This web of FTAs often overlap and those trading with Australia need to determine which FTA they will use based on a range of factors such as the tariffs and associated rules of origin applied in each case. In addition, most agreements require a declaration or a third-party certificate confirming that the rules of origin have been met and imported goods are eligible for concessional treatment.

Bilateral investment treaties

Australia is also party to bilateral investment treaties, which have a narrower focus and seek to promote and protect two-way investment rather than solely trade. Australia’s most recent BIT was concluded in 2024 with the UAE.

Import controls

The Customs Act 1901 (Cth) (Customs Act) is the cornerstone of Australia’s import control system. Through the Australian Border Force, it regulates the import and export of goods to and from Australia. Certain products are subject to additional controls through:

• the Biosecurity Act 2015 (Cth), which controls the entry of goods that may post biosecurity risks, such as plants, animals and food;
• Customs (Prohibited Imports) Regulations 1956 (Cth), which specifies goods which are prohibited wholly or subject to conditions or restrictions and sets the regime for importation of drugs;
• Commerce (Trade Descriptions) Regulation 2016 (Cth), which specifies goods that can only be imported with a complying trade description; and
• the Imported Food Control Act 1992 (Cth), which regulates the safety and inspection of imported food products, both administered by the Department of Agriculture, Fisheries and Forestry.

The Australian Border Force does not require companies or individuals to hold import licences for the purposes of importing goods into Australia. However, under the Customs (Prohibited Imports) Regulations 1956 (Cth), for some goods, and regardless of value, importers may need to obtain permits and comply with specific conditions (including as to labelling and packaging), including for biological products, plants and animals, medicines and therapeutic goods, clothing, firearms and weapons, hazardous chemicals and certain food products.

All goods imported into Australia with a customs value above A$1,000 must be formally cleared by the Australian Border Force, whether imported by air, sea or post. Importers are responsible for obtaining a such customs clearance, including submitting a completed import declaration form and paying duty, GST and any other taxes and charges that may apply.

Australia maintains a self-assessment regime, with legal compliance liability accruing to the “owner” (importer) of the goods. The Australian Border Force may conduct post-importation audits to confirm the accuracy of import clearance declarations and may issue financial penalties or prosecute on the basis of significant errors in such declarations.

Goods with a value equal to or less than A$1,000 are exempt from formal declaration but may be still be subject to GST if the supply of the goods is taken to be connected with Australia.

Certain goods may either not be imported into Australia or may only be imported conditionally. A list of goods that might be subject to import prohibitions and restrictions is available from the Australian Border Force website.

Duties and taxes

Goods imported into Australia are subject to customs duty. Rates are determined by the tariff classification in the Customs Tariff Act 1995 (Cth), with the average rate being 5%, and often the duty is determined by reference to the value of the imported goods.

Australian Border Force determines the value of goods imported into Australia based on valuation provisions in the Customs Act.

GST, Wine Equalisation Tax, and Luxury Car Tax are also imposed on goods imported to Australia. The Department of Home Affairs administers these taxes for goods imported to Australia, though this function is outsourced to the Australian Border Force.

Export controls

Australia applies a limited range of export controls on exported goods and services, such as those contained in the Customs (Prohibited Exports) Regulations 1958(Cth). However, prohibitions, restrictions or export permit requirements do apply to some types of exports, such as:

• military and “dual-use” goods;
• defence and strategic technology;
• certain therapeutic and certain chemical compounds;
• hazardous waste; and
• cultural heritage items.

Trade sanctions

Australian law implements United Nations Security Council (UNSC) sanctions regimes as well as Australian autonomous sanctions regimes. Sanctions can include restrictions on trade in goods and services and economic activity with sanctioned countries.

UNSC sanctions regimes are generally implemented under the Charter of the United Nations Act 1945 (Cth) (United Nations Act) and its regulations. There is a separate set of regulations under the United Nations Act for each UNSC sanctions regime.

Australian autonomous sanctions regimes are generally implemented under the Autonomous Sanctions Act 2011 (Cth) (Autonomous Act) and the Australian Autonomous Sanctions Regulations 2011. There is only one set of regulations under the Autonomous Act.

The Department of Foreign Affairs and Trade administers the United Nations Act, the Autonomous Act and their regulations through a dedicated Australian Sanctions Office.

A full list of sanction regimes currently implemented under Australian sanction laws, including detailed information about the particular sanctions measures, can be found the Australia and Sanctions area of Department of Foreign Affairs website.