The Customs Amendment (Safeguard Inquiries) Bill 2026 centralises Australia's trade remedy framework by transferring the power to conduct safeguard inquiries from the Productivity Commission (PC) to the Anti-Dumping Commission, which is renamed the Australian Trade Remedies Commission (ATRC). Safeguard actions are "emergency" measures—such as temporary tariffs or quotas—imposed when a surge in imports threatens serious injury to a domestic industry.
From the explanatory memo:
The Bill supports the Government’s commitment to ongoing, practical, regulatory improvement by consolidating all trade remedy functions within a single specialist body... This enhances accessibility for Australian industry. It will also harmonise trade remedy actions through operational alignment and capability uplift to support Australian manufacturers and consumers.[p. 1]
A key feature is the introduction of a mandatory "public interest" test. When recommending a safeguard measure, the Commissioner must consider the broader impacts on the Australian economy, including costs to consumers and downstream industries. The Bill largely replicates the procedural powers previously held by the PC, including the ability to hold public hearings and protect confidential information, while providing the Minister with a new rule-making power to further refine inquiry procedures. Existing inquiries currently before the PC, such as the investigation into fabricated structural steel, will be completed under the old framework to ensure continuity. [Bills Digest p. 2]
The primary justification for this Bill is the creation of a "one-stop shop" for trade remedies, moving away from a fragmented system where anti-dumping and safeguard functions were split between different agencies. By consolidating these functions within the ATRC, the government leverages the specific technical expertise of a body dedicated to trade injury analysis [Judgment]. As noted by the Australian Manufacturing Workers’ Union, industry groups have sought this reform for nearly a decade, arguing that the Productivity Commission’s generalist economic focus made safeguard inquiries inaccessible and overly academic.
Furthermore, the Bill introduces a formal "public interest" requirement. This ensures that while the ATRC focuses on industry protection, it remains legally bound to consider the "economic significance of industries in Australia affected by the importation of goods" and the "likely impact on the Australian economy, related industries, and consumers" [Explanatory Memorandum p. 15]. This balanced approach provides a more practical and responsive mechanism for domestic manufacturers to seek relief from unforeseen import surges without sacrificing broader economic stability.[1]
The Bill explicitly requires the Commissioner to have regard to whether a recommendation is in the public interest, specifically considering impacts on consumers and the wider economy (Proposed Section 269ZHGC(8)).
Critics of this Bill argue that transferring safeguard inquiries to the ATRC risks a slide toward narrow protectionism. The Productivity Commission’s "whole-of-economy" mandate served as a vital epistemic check, ensuring that trade barriers were only raised when the benefits to a specific industry clearly outweighed the costs to the rest of the nation [Judgment]. By moving this function to a body historically focused on "protecting Australian manufacturers" (as noted by CGT Law), the government may be facilitating regulatory capture.
There is a significant risk that the ATRC will lack the same level of rigorous, independent economic scrutiny that the PC provided. Former PC Chairman Peter Harris has noted that the PC's process ensured data was "validated from a credible alternative source" for all parties [Bills Digest p. 4]. Removing this oversight could lead to higher costs for Australian consumers and businesses that rely on imported inputs, effectively subsidising inefficient domestic producers at the expense of the broader public’s economic freedom and purchasing power.[1]
The Productivity Commission's remit is traditionally broader than trade remedies, focusing on structural reform and productivity across all sectors of the economy.
2026-06-24
Senate
Before Senate
Unspecified
Industry, Science and Resources
Trade Policy, Industrial Policy, Democratic Institutions