Public Governance, Performance and Accountability Amendment (Local Industry Preference)

Current status

This bill is currently before Parliament.

Policy area

Government & democracy

What does this bill do?

Australian manufacturers would be considered before overseas manufacturers when bidding for specified federal projects.

Why was it introduced?

The evidence does not contain a government rationale because this was introduced by independent MP Dai Le. Le said Australian makers struggle to match cheaper imports and receive too little federal work. She noted that 97 per cent of clothing is made overseas, while local clothing manufacturing supports more than 28,000 jobs. She cited modelling that the textile changes could add $641 million to the economy and more than 950 skilled jobs over five years.

Broader context

Since 2022, the Commonwealth has spent $790 million procuring textiles, clothing and footwear without consistently measuring Australian-made content, while the 2024–25 Budget committed $22.7 billion to Future Made in Australia but did not direct that funding to established manufacturers such as steel, textiles, clothing and footwear. Amid retailer collapses and manufacturers struggling against cheaper imports, Dai Le MP introduced a private member’s bill requiring local manufacturers to be considered first and Australian-made goods to comprise at least 30 per cent of goods used in specified Commonwealth projects.

Key criticism

The supplied debate contains no criticism of the bill itself. Dai Le argued instead that existing purchasing rules disadvantage Australian makers because they cannot match overseas labour costs.

Who supported it?

Dai Le MP introduced this bill. Supportive speeches so far have come from some crossbench members.

Introduced in House 29 June 2026
At second reading in House 29 June 2026
Not yet reached Senate
Not yet law

Did it become law?

Not yet

Final passage

No final vote yet

The bill has not yet completed passage through Parliament.

Days since introduction

39 days

Updated 07 Aug 2026.

Official record

View on APH

Parliament of Australia bill page

What does this bill do?

  1. Australian manufacturers would be considered before overseas manufacturers when bidding for specified federal projects.

  2. Suppliers to specified federal projects would need at least 30 per cent of their goods’ value to come from Australian-made products.

  3. Businesses bidding for specified federal projects could receive limited exemptions. The rules would require these exemptions to be transparent.

  4. Australian manufacturers and workers would gain explicit recognition in federal purchasing policy. Its objectives would include local jobs, manufacturing capacity and supply security.

  5. Federal agencies would apply the new requirements from the day after the law receives formal approval from the Governor-General.

Show source excerpts
  1. 2 After subsection 105B(1) (1A) An instrument under subsection (1) must: (a) provide for domestic manufacturers to have opportunities to be considered ahead of non‑domestic manufacturers when tendering for specified Commonwealth projects; and
    Public Governance, Performance and Accountability Amendment (Local Industry Preference) introduced text
  2. (1A) An instrument under subsection (1) must: (a) provide for domestic manufacturers to have opportunities to be considered ahead of non‑domestic manufacturers when tendering for specified Commonwealth projects; and (b) provide that, for specified Commonwealth projects, at least 30% of the total value of goods used in the project must consist of products manufactured domestically; and
    Public Governance, Performance and Accountability Amendment (Local Industry Preference) introduced text
  3. (1A) An instrument under subsection (1) must: (a) provide for domestic manufacturers to have opportunities to be considered ahead of non‑domestic manufacturers when tendering for specified Commonwealth projects; and (b) provide that, for specified Commonwealth projects, at least 30% of the total value of goods used in the project must consist of products manufactured domestically; and (c) provide for limited and transparent exemptions in respect of rules made for the purposes of paragraphs (a) and (b).
    Public Governance, Performance and Accountability Amendment (Local Industry Preference) introduced text
  4. Public Governance, Performance and Accountability Act 2013 1 At the end of section 5 ; and (e) to ensure that Commonwealth procurement supports Australian industry capability, sovereign resilience, thriving domestic manufacturing industries and local manufacturing jobs.
    Public Governance, Performance and Accountability Amendment (Local Industry Preference) introduced text
  5. 2 Commencement (1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms. Commencement information Commencement Date/Details 1. The whole of this Act The day after this Act receives the Royal Assent.
    Public Governance, Performance and Accountability Amendment (Local Industry Preference) introduced text

Broader context for this bill

Since 2022, the Commonwealth has spent $790 million procuring textiles, clothing and footwear without consistently measuring Australian-made content, while the 2024–25 Budget committed $22.7 billion to Future Made in Australia but did not direct that funding to established manufacturers such as steel, textiles, clothing and footwear. Amid retailer collapses and manufacturers struggling against cheaper imports, Dai Le MP introduced a private member’s bill requiring local manufacturers to be considered first and Australian-made goods to comprise at least 30 per cent of goods used in specified Commonwealth projects.

  1. Since 2022

    Commonwealth purchasing lacks an Australian-made benchmark

    The Commonwealth spent $790 million procuring textiles, clothing and footwear without consistently measuring how much was made in Australia.

    Second reading speech ↗
  2. 2024–25 Budget

    Future Made in Australia leaves established manufacturers outside its focus

    The government committed $22.7 billion over a decade to the agenda, but Dai Le MP said the funding targeted industries such as green hydrogen, critical minerals and renewable technology rather than steel, textiles, clothing and footwear.

    Second reading speech ↗
  3. 2026

    Retail collapses sharpen warnings about local industry

    The collapse of Betts, Lincraft and Glue stores accompanied warnings that Australian family businesses faced rising prices, taxes and energy costs while the country became increasingly dependent on imports.

    News.com.au ↗
  4. 29 June 2026

    Dai Le MP introduces a local industry preference bill

    The private member’s bill proposed giving domestic manufacturers first consideration and requiring Australian-made goods to account for at least 30 per cent of goods used in specified Commonwealth projects, subject to limited and transparent exemptions.

    Parliamentary timeline ↗

How did it move through Parliament?

House Senate
Introduced 29 June 2026

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 29 June 2026

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

The main case against this bill

The supplied debate contains no criticism of the bill itself. Dai Le argued instead that existing purchasing rules disadvantage Australian makers because they cannot match overseas labour costs.

Both recorded contributions supported the bill. Andrew Gee said federal projects should back Australian manufacturing, while Le said the 30 per cent requirement would give local businesses greater confidence to invest.

Recorded votes

No recorded votes have been found yet for this bill.

Who spoke, and what they said

Start here — lead voices

Lead supporting voice Supports

Dai Le

Independent • MP 29 June 2026

Dai Le urges the House to pass her bill requiring Commonwealth procurementPurchasing by Australian federal agencies. to favour Australian manufacturers for specified projects, arguing that a 30 per cent local-content threshold would protect domestic industry, create skilled jobs and strengthen supply-chain resilience.

Read in Hansard ↗
Lead non-major voice Supports

Andrew Gee

Independent • MP 29 June 2026

Andrew Gee strongly supports the bill because it would direct Commonwealth procurementPurchasing by Australian federal agencies. towards Australian manufacturers, protect local jobs and strengthen sovereign manufacturing capacity.

Read in Hansard ↗

All speeches by bloc

Minor parties and independents

2 speakers · 2 support

Full record

Full chat