We focus on critical supply chain vulnerabilities that could impact Australia’s national interest.

This includes our:

  • ​health, safety or wellbeing
  • economic stability and viability
  • national security
  • international partners.

We advise the Australian Government on supply chain risks and potential actions to improve resilience.

We work to ensure ongoing access to essential goods and services, including:

  • fuel and fuel additives
  • pharmaceuticals and medical products
  • renewable energy technologies
  • semiconductors
  • agricultural chemicals, including crop protection products and fertilisers
  • water treatment chemicals
  • telecommunications equipment.

Working with industry

We engage directly with targeted sectors to help us understand Australia’s supply chain risks. These business insights can provide early warning signs of disruptions to critical supply chains.

We also host a supply chain roundtable with peak bodies across key manufacturing and services sectors, including:

  • healthcare
  • food production
  • chemicals
  • construction.

Supply chain resilience framework

We apply the following framework to identify and address disruption risk in Australia’s critical supply chains. The framework helps Australian Government agencies assess:

  1. ​Vulnerability through:
    • quantitative and qualitative analysis
    • government and business data sources
    • engagement with stakeholders
    • scenario analysis.
       
  2. Criticality by measuring the potential impact of supply disruptions on Australia's national interest.
     
  3. ​Residual risk by understanding whether industry has enough opportunity, capacity and incentive during disruptions to:
    • prevent
    • absorb
    • adapt (substitute) or
    • transform processes.
       
  4. Targeted and proportionate responses by considering which policy is most appropriate to manage any residual risk.

Types of policy responses

The framework includes 4 types of policy responses. These aim to:

  • address supply chain disruption risks
  • avoid unnecessary costs. 
Response type Examples
No regrets action
  • organising private investment
  • information sharing
  • international collaboration
  • reducing trade barriers
  • deregulation for business
  • managing market efforts.
Responsive support

Following a disruption to help businesses:

  • ration or extend current supplies
  • find alternate supply sources
  • use substitutes
  • adapt production processes.
Pre-emptive support

To help businesses prepare before a disruption , including:

  • stockpiling
  • contingent contracting arrangements
  • building in pivotable capabilities before a disruption occurs.
Onshoring and restrictions

To limit exposure to global supply disruptions by developing:

  • sovereign capability
  • time-limited export restrictions
  • mandatory import concentration thresholds.

More information

Find out how we increase the supply of reliable products into Australia by reducing technical barriers to trade
Learn how we're strengthening Australian manufacturing to build our resilience
Learn about how we are supporting industry innovation
Discover the range of services our department offers to other government agencies
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