North America
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Importing to Australia
With growing free trade agreements and an ongoing digital revolution, it’s an ideal time to import to Australia. Tech opportunities for goods and services like data management, digital services, AI tools, and cybersecurity are flourishing.
Tax
up to 10%
Duties
up to 10%
Lead Times
2-3 weeks
Restricted Items
N/A
Best Carrier Option
Courier or Freight Forwarder
Non-Working Days
Saturday, Sunday, and Public Holidays
Prominent Languages
English
Exporting and Importing to Australia
Australia’s key exports are coal, iron ore, petroleum gas, gold, and wheat, mainly to China, Japan, South Korea, and India. Australia’s top imports are refined petroleum, cars, delivery trucks, broadcasting equipment, and computers, mainly from China, the US, South Korea, Japan, and Singapore. As the sixth-largest country in the world, Australia offers many opportunities for importing tech goods.
Australia’s government has invested in building its digital economy through the Data and Digital Government Strategy Plan. The tech sector has grown by 80% within 5 years, four times faster than the rest of the economy, and is now worth AUD167 billion. Austrade’s GDP growth projection for Australia’s tech sector is AUD250 billion by 2030.
Population
26,64 M
Biggest Industry by Export
Iron Ore Mining
Capital City
Canberra
Biggest Industry by Import
Petroleum
Import to Australia
With the government’s “cloud-first” strategy, Australia’s growing digital economy is rich with opportunities, especially for APAC expansion. In 2022, Australian businesses spent $117 billion on IT infrastructure, software, and data capabilities. With the push to adopt cloud computing services, the need for data management, digital services, AI tools, and cybersecurity is increasing. Australia offers a competitive and fruitful market for importing tech goods and services.
Over the past 30 years, Australia has continuously reduced trade restrictions and tariffs for more open trade. Additionally, Australia has 18 free trade agreements (FTAs) with more than 20 countries. These agreements enable trade and investment by reducing trade barriers and enabling customs duty savings, making it easier for importers and exporters to seek opportunities and do business within Australia
The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) is a notable FTA. Originally including Australia, New Zealand, Japan, Singapore, Canada, and Mexico, the partnership grew to include Vietnam, Peru, Malaysia, Chile, Brunei Darussalam, and the UK. To qualify for this FTA, goods must be identified with HS codes, meet Rules of Origin requirements, have a Certificate of Origin, among other factors.
The Australia-US free trade agreement removes tariffs on imported software, which benefits US companies wishing to expand to Australia. However, a goods and service tax (GST) will still be levied on the value of most imported goods.
Export From Australia
Australia has export controls for dual-use and strategic goods. Their Defence and Strategic Goods List (DSGL) includes militant and non-militant defense and related goods, software, and technologies across ten categories. The categories include electronics, computers, telecommunications and information security, sensors and lasers, navigation and avionics, and aerospace goods. Exporting these goods requires a Defence Exports Control permit from the Australian government.
However, the Australian government has significant initiatives to streamline exports for Australian companies:
Export Market Development Grants (EMDG) to provide financial assistance of up to 8 grants to existing and aspiring exporters.
Australian Trusted Trader (ATT) to reward compliant exporters with robust supply chains with benefits like prioritized goods at the border and streamlined red tape.
Support from Austrade (the Australian Trade and Investment Commission) and DFAT (Department of Foreign Affairs and Trade) to help Australian businesses expand into global markets.
In addition, licenses for defense technology have nearly been eliminated between Australia, the UK, and the US through AUKUS, their trilateral security partnership. 80% of dual-use goods will be license-free to export from the US to Australia. In return, Australia has eradicated 900 export permits on defense goods to the UK and the US.
Importer of Record IOR Australia
TecEx can help you import to Australia as your IOR or export as your EOR. If you’re ready to expand to or from Australia, TecEx can handle your logistics and compliance, ensuring you fully reap the benefits of the country’s exciting developments.
While importers don’t require an import license, various permits may be required. Details like tariff classification, accurate valuation, and Rules of Origin are pertinent for successful Australian imports. Import goods valued at over AUD1000 may require an Import Declaration. Customs duties are generally 10% for IT goods, and additional Import Processing Charges (IPCs) may need to be paid to the Australian Border Force (ABF).
With years of compliance expertise, we can ensure you comply with all export controls, import regulations, and other customs requirements with the correct permits, documents, and labeling. With an established physical presence in Australia, Australian Business Number, and GST registration, we are ready to fulfill your Australian import needs and streamline your technology shipments.
Combining Australia’s expanding list of free trade agreements and our vast industry knowledge, we can determine what agreements your shipments can leverage off of for smoother, faster trade. Our experience also allows us to plan optimized trade routes to get your tech goods to and from Australia as efficiently and cost-effectively as possible.
Unique Pain Points
Australia faces a significant non-tariff trade barrier because it is far from many locations, including the US. The distance, unpredictable weather, and complex supply chains make it challenging for distant competitors to get to market and compete with importers closer to the continent. Getting goods to or from Australia without delays requires strategic planning for robust logistics and an optimized supply chain.
Additionally, Australian export controls for tech goods are difficult to navigate without an expert. Importing or exporting prohibited goods without the required permit or license has serious consequences. This mistake can result in the seizure of your goods, penalties up to 2,500 penalty units (AUD525,000), or 10 years imprisonment—or both. It’s best to consult a compliance specialist to mitigate this risk.
Seizure of goods is also a risk if they infringe upon intellectual property rights and trademarks. These are protected under the Trade Marks Act and the Copyright Act.
Countries That Trade with Australia
Asia
China
Asia
Japan
Specific Compliance Regulations
Australian Business Number (ABN)
An ABN is vital for smooth customs clearance. To import into Australia, you must have a physical presence in the country, be registered for GST, and possess an ABN to claim or defer input tax credits.
Australian Commerce Trade Descriptions
Various goods, like electrical appliances, require trade descriptions to clear Australian customs. These regulations require an English trade description with specific information to be placed prominently as a principal label on the imported goods. It is a serious offense to omit a trade description if required.
Valuation of Goods and Fair Market Value
Accurate valuation of imported goods is essential in Australia, with the transaction value method being the most commonly used approach. This method is based on the price paid for goods, subject to reasonable adjustments such as commissions or royalties. For the transaction value to be valid, the buyer and seller must not have a pre-existing relationship that could influence the price.
Ensuring fair market value is also critical, as undervaluing goods can cause issues with Australian customs. Importers must ensure that goods are correctly valued to comply with regulations and avoid complications.
Australia Export Controls and The Australia Group (AG)
Now consisting of 43 countries, the Australia Group was founded by the Australian government in 1985 in response to the use of chemical weapons in the Iran-Iraq war. To prevent the proliferation of chemical and biological weapons, the participating countries enforce export controls on the chemicals, biological agents, and dual-use equipment, technology, and software that could be used to manufacture or dispose of these weapons.
Exporters from Australia and other participating countries must comply with the group’s export controls. The list of participants can be found here.
Your global trade solution for Australia
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