03 Feb 2026

Australia spends billions on imports at risk of forced labour, driving calls for urgent law reform

Billions of dollars’ worth of goods at risk of being made with forced labour are being imported into Australia every month. The current review of the Modern Slavery Act is a key opportunity to introduce mandatory due diligence, which would help stop products made with exploitative labour entering the market.

An aerial photo taken on 27 June, 2024 shows cargo ships at the Port of Melbourne, Australia's largest container port, in Melbourne.
An aerial photo taken on 27 June, 2024 shows cargo ships at the Port of Melbourne, Australia’s largest container port, in Melbourne. Photo Credit: WILLIAM WEST/AFP via Getty Images .

New analysis from Walk Free and Fair Supply estimates nearly AU$100 billion worth of imports to Australia are at heightened risk of modern slavery.

This represents around $1 in every $5 spent on imported goods in 2024 alone.

The most money was spent on electronic machinery and appliances, with nearly $13 billion dollars of imports deemed high risk.

Nearly 90 per cent of apparel and clothing imports come from countries with forced labour risks.

Many other everyday goods, including phones, computers, footwear and vehicle parts, are also at risk of being manufactured using exploited workers.

Nearly two-thirds of global forced labour cases happen within international supply chains

The latest Global Slavery Index estimates nearly two-thirds of forced labour cases worldwide are tied to global supply chains.

This new analysis reveals Australian businesses and consumers are purchasing goods linked to supply chains where forced labour is prevalent, from apparel manufacturing in South Asia to electronics production in East and Southeast Asia.

With Australians unknowingly spending their hard-earned wages on goods linked to forced labour, the need for stronger legislation is urgent.

Why Australia needs stronger laws to combat forced labour

It’s very difficult for consumers to trace or influence these supply chain risks.

Without stronger regulation, businesses face no requirement to identify, reduce, or report these risks in a meaningful or consistent way.

Australia’s Modern Slavery Act was world-leading when introduced, but evidence over the last 8 years shows mandatory reporting alone has done little to reduce harm for victims.

Most companies are still not identifying specific risks within their supply chains, and even fewer are taking concrete steps to address forced labour.

Australia must strengthen the Modern Slavery Act to prevent forced labour in supply chains

Australia must move quickly to strengthen its response to forced labour by:

  • Introducing a mandatory due diligence obligation into the Modern Slavery Act. 
  • Ensuring businesses take meaningful action to identify and address forced labour risks in their supply chains. 

Strengthening the Act will make it harder for goods made with forced labour to enter Australia and help protect the millions of people trapped in exploitation around the world.

Australia’s households should not have to shoulder the hidden cost of forced labour. Our government and businesses must act now.

Top imported goods in Australia with forced labour risk in global supply chains

Fair Supply’s analysis found more than a fifth of Australia’s imports (21.5 per cent), were from commodity categories with an elevated risk of modern slavery.

This includes electronics, telecommunications equipment, apparel, cars, office equipment, footwear, textiles, and miscellaneous goods such as artificial flowers and seasonal items.

Breakdown of the top 5 highest value at‑risk goods

  1. Electrical machinery, apparatus and appliances: $12.9 billion of Australia’s $28.3 billion spend on these imports was at risk of forced labour. (46 per cent of total spend) 
  2. Telecommunications equipment: $11.5 billion of Australia’s $20.2 billion spend on telecommunications equipment was at risk of modern slavery, primarily from China and Malaysia. (57 per cent of total import spend) 
  3. Apparel: $11.4 billion of apparel imports were at risk of forced labour, almost all of Australia’s $12.8 billion spend, originating from countries including China, India, Brazil and Argentina. (89 per cent of total import spend) 
  4. Misc. manufactured goods: $10.3 billion of a total $23.9 billion spend on imported manufactured goods including toys, ornaments and other household items were at risk of forced labour, primarily sourced from China. (43 per cent of total import spend)
  5. Road vehicles: $8.9 billion of road vehicle imports were at risk of forced labour – a significant share of Australia’s $62.0 billion spend – including aluminium auto parts from China. (14 per cent of total import spend) 

Fair Supply’s data draws on the US Department of Labor’s List of Goods Produced by Forced or Child Labour, US Customs and Border Protection Withhold Release Orders, Fair Supply’s Industry Ratings, and 2024 import data from the Australian Bureau of Statistic’s Merchandise Imports by Commodity (SITC), Country and State dataset.