Australia's Defence Exports Under Scrutiny Amid Allegations of Indirect Arms Transfers to Israel



Australia's defence export practices have come under renewed scrutiny following reports that Australian-manufactured components have been incorporated into weapon systems used by the Israeli military in Gaza. These revelations raise questions about the effectiveness of Australia's export controls and the broader implications of the AUKUS security partnership.​

The AUKUS agreement, signed in 2021 between Australia, the United Kingdom, and the United States, comprises two pillars. Pillar One focuses on providing Australia with nuclear-powered submarines, while Pillar Two aims to enhance collaboration on advanced military capabilities and streamline defence trade among the three nations.​

In line with Pillar Two, Australia enacted the Defence Trade Controls Amendment Act 2024, which came into effect on 1 September 2024. This legislation established a licence-free environment for most military and dual-use goods and technology transfers between Australia, the UK, and the US, effectively waiving permit requirements for such exchanges.

Critics argue that this streamlined process may inadvertently facilitate the transfer of Australian-made components into conflict zones without adequate oversight. For instance, the Canberra-based defence company Electro Optic Systems (EOS) has been linked to the R400 remote weapon system, which was reportedly tested by the Israeli military. While the final assembly and export of the system occurred in the US, the components originated from Australia.​

Similarly, Australian company DroneShield's DroneGun Mk4, an anti-drone weapon system, was observed in use by the Israeli Defence Forces. Photographs from a February 2024 investor presentation show an Israeli soldier holding the device, suggesting its deployment in the region.​

These instances have prompted concerns from human rights organisations. The Australian Centre for International Justice (ACIJ) has highlighted the potential for Australian-made components to be used in violations of international humanitarian law. In response, the ACIJ, along with over 230 civil society organisations, has called for an immediate halt to all direct and indirect transfers of F-35 parts and components to Israel.

The Australian government maintains that it has not supplied weapons or ammunition to Israel since the onset of the Gaza conflict in October 2023. However, a review of 66 military export permits to Israel, approved before the conflict, is currently underway to assess compliance with international obligations, including human rights considerations.

As Australia continues to deepen its defence ties with the US and UK under AUKUS, these developments underscore the need for robust oversight mechanisms to ensure that defence exports align with Australia's legal and ethical commitments.

There is documented evidence that Australia has continued to export various goods to Israel since October 7, 2023, including items with potential military applications. These exports encompass both direct shipments and indirect transfers through third countries, raising concerns about Australia's compliance with international arms control obligations.​

Direct and Indirect Military Exports

According to data from the Department of Foreign Affairs and Trade (DFAT), Australia exported approximately $1.5 million worth of arms and munitions to Israel in February 2024. This figure nearly matches the total value of such exports since the Albanese government assumed office, bringing the cumulative total to over $3.25 million. The term "arms and munitions" includes items such as guns, bullets, missiles, and other weaponry .​

Furthermore, a 90-page list obtained by Declassified Australia under Freedom of Information laws details thousands of goods exported directly to Israel since October 7, 2023. These items range from electronics and communication equipment to aircraft parts and engines, some of which could have military applications .​

One of the most high-profile revelations centres on the Electro Optic Systems (EOS) R400 remote weapons system—a platform capable of deploying a 30mm cannon, manufactured in Australia. A photo published by the Israeli Defence Force in January 2025 shows Israeli officials standing beside the system under the headline “Counter Drone Evaluation Testing with New Customer.” According to the Israeli evaluation, the system “performed extremely well.”

While the R400 is assembled in the United States, its Australian origins are undisputed. Defence Minister Richard Marles and Prime Minister Albanese have maintained that these exports do not constitute “arms exports to Israel” due to their intermediary assembly in the US. Critics argue this is a legalistic manoeuvre that sidesteps Australia’s responsibilities under international law.

Senator Shoebridge has suggested that these transfers may have been facilitated under “Pillar II” of the AUKUS security agreement, which significantly eases the transfer of defence technologies between Australia, the US, and the UK. Legislation passed in March 2024 removed the requirement for export permits when sending certain goods to the US, effectively creating a legal backchannel for sensitive exports to be redirected beyond the initial recipient.

The supply chain extends beyond conventional arms. Export records list fibre optic cables, satellite systems, thermal imaging equipment, and radiation detection hardware—all of which have military and surveillance applications. Many of these systems bolster Israel’s control over the Palestinian telecommunications infrastructure, which rights groups say is central to enforcing the blockade and limiting Palestinian agency.

Australian government departments have thus far declined to disclose the end-use or final recipients of these technologies, citing commercial confidentiality or national security—further fuelling concern over transparency and accountability.

Export Permits and Regulatory Oversight

The Australian government has issued numerous defence export permits to Israel. In Senate Estimates on February 26, 2025, Defence officials stated that since October 7, 2023, 22 permits had been issued, with four having expired. The remaining active permits were described as benefiting the Australian Defence Force and Commonwealth capabilities.

However, the Department of Defence has acknowledged that some export permits to Israel involve parts, component parts, or full systems related to defence goods and services. While these items may not be classified as conventional arms individually, their components could be integrated into larger weapons systems.

Internal Defence Department communications, disclosed in Senate Estimates, acknowledge that while permits exist for parts and components destined for Israel, these items are “not regarded... as conventional arms.” Yet many of these items fall under List 1 or 2 of the Defence Strategic Goods List (DSGL)—a classification that includes weapons, drones, missile parts, and advanced avionics.

The distinction appears to be less about function and more about legal definitional gymnastics. Experts warn this framing undermines the spirit of the ATT, which obliges signatories to prevent arms exports likely to contribute to serious violations of international humanitarian law.

Calls for Transparency and Accountability

These developments have prompted calls from human rights organisations and public servants for greater transparency and a reassessment of Australia's arms export policies. In May 2024, over 300 Australian public servants signed an open letter urging the federal government to cease supplying all military parts and weapons to Israel, citing concerns over potential breaches of international humanitarian law.

The Australian Centre for International Justice (ACIJ) has also highlighted the risks associated with indirect arms transfers, where Australian components are exported to third countries, such as the United States, before being incorporated into weapons systems supplied to Israel. Such practices may bypass Australian export controls and contravene international legal obligations, including under the Arms Trade Treaty.

International legal scrutiny is intensifying. A legal brief submitted by Birchgrove Legal to the International Criminal Court (ICC) alleges complicity in war crimes and genocide by senior Australian leaders, including the Prime Minister, Foreign Minister Penny Wong, and Defence Minister Marles. The ICC, to which Australia is a signatory, has reportedly included these claims in its ongoing investigation into the situation in Palestine.

Legal experts such as human rights lawyer Kellie Tranter argue that Australia may be in breach of Article 1 of the Genocide Convention, which compels signatories to “prevent and punish” genocide. “There is evidence,” Tranter writes, “that Australia has failed to use its capacity to influence Israeli conduct, and may have facilitated, economically or materially, acts that entrench Israel’s occupation of Palestinian territories.”

A Bipartisan Blind Spot?

While the Greens have called for an immediate suspension of all military exports to Israel, the Labor government and the Coalition remain largely aligned in their approach. Media coverage of the issue has been sparse, with few outlets engaging substantively with the growing body of evidence linking Australian defence exports to ongoing civilian harm in Gaza.

What remains clear is that Australia’s role is no longer easily dismissed as peripheral or benign. The current conflict, which has claimed tens of thousands of lives, demands a reckoning—not only with the actions of foreign powers but with the domestic industries and policies that enable them.

As pressure builds internationally for accountability over the use of force in Gaza, the Albanese government must confront a pressing question: can a country committed to human rights and the rule of law continue to justify its military and technological ties with a state under investigation for war crimes?

Albanese’s “Kindness” Rings Hollow as Gaza Starves and Australia Stays Silent

On election night, as Anthony Albanese stood before a crowd of jubilant supporters celebrating Labor’s 3 May victory, he spoke of “Australian values” — kindness, compassion, decency. Foreign Minister Penny Wong followed suit, describing him as a leader defined by empathy.

But at that very moment, reports emerged that 57 Palestinians had died of starvation in Gaza. Israeli authorities had yet again denied access to humanitarian aid convoys attempting to reach a civilian population under siege. As families starved and children perished, the silence from Canberra was as deliberate as it was deafening.

In a different Australia — one imagined by many who have contributed to Pearls and Irritations — compassion would not be reserved for campaign rhetoric. For years, that outlet’s contributors have chronicled the suffering in Gaza, raising alarms that have gone unheeded by those in power. Their writing is forceful, rigorous, often poetic. But it exists in a vacuum where neither votes nor vested interests are at stake.

Writers such as Margaret Reynolds, Ali Kazak, Paul Heywood-Smith, Helen McCue, Richard Hill, Alison Broinowski, Greg Barns, and John Menadue have documented the war crimes, the hypocrisy, the blatant disregard for international law. They have exposed the systemic brutality of Israel’s occupation and Australia’s complicity in its continuation. Yet none hold public office. None are permitted onto the debate stages where policy is shaped.

Helen McCue, who has spent four decades working in Palestinian refugee camps, asked Prime Minister Albanese directly: “How can you sleep at night?” Her questions echo like unanswered charges. “Can you hear the screams of children under the bombs?” “Can you hear the cries of those operated on without anaesthetic?”

But instead of moral clarity, we get the same tired defence: “Israel has a right to defend itself.” Legal scholars like Paul Heywood-Smith have dismantled that line. Under international law, he argues, an occupying power has no such right when it is the aggressor. What Israel calls “self-defence” often amounts to collective punishment — a war crime by any measure.

Inside Labor, even those who once pledged solidarity with Palestine have gone quiet. In 2017, the party voted to recognise Palestinian statehood. In government, it has done nothing of the sort. When Senator Fatima Payman broke ranks to speak up, former senator Margaret Reynolds lamented how even principled voices are shackled by party discipline.

Alison Broinowski notes the absurd contradictions: Hamas flags banned at pro-Palestine rallies while Israeli ones fly freely; Russian war crimes condemned with gusto while Israeli atrocities are met with tortured euphemisms. “Australia has no hesitation in calling Putin a war criminal,” she writes. “But can’t apply the same standard to Netanyahu.”

Ali Kazak, in a searing open letter to Israeli citizens, accuses them of cloaking ethnic cleansing in the language of peace. “They speak of security,” he writes, “but wage a genocidal war.” His anger extends to Australian politicians — their parroting of Israeli talking points a testament, he says, to “undignified ignorance” and a sycophantic foreign policy built on silence.

Greg Barns, a barrister and former political advisor, calls it what it is: a moral collapse. He proposes what few in Canberra dare to consider — sanctions against Israel and criminal charges for Australian dual nationals fighting with the IDF in Gaza. “This is not just foreign policy,” Barns argues. “It’s a matter of upholding the Rome Statute and the principles we claim to value.”

An Israeli government minister has vowed that “Gaza will be entirely destroyed” as a result of an Israeli military victory, and that its Palestinian population will “leave in great numbers to third countries”, raising fears of ethnic cleansing in the occupied territory.

 

The declaration on Tuesday by the finance minister, Bezalel Smotrich, came a day after Israel’s security cabinet approved a plan for Operation Gideon’s Chariots, which an Israeli official said would entail “the conquest of the Gaza Strip and the holding of the territories”.

 

The Israeli threats to seize control of the territory permanently has stirred global outrage with many describing the this as a threat of ethnic cleansing.

 

Humanitarian officials say the territory is on the brink of catastrophe as food and fuel runs out due to a total Israeli blockade imposed on 2 March.

 

Now Israel has now openly declared its plan to ethnically cleanse and permanently occupy Gaza

 

With Israeli PM Benjamin Netanyahu saying the “Palestinian population will be moved out of Gaza.”

 

Now we just saw Australians firmly reject the pro-genocide Liberals.

 

So this is now a test for this new Labor government.

 

What will they do in response to Israel’s horrific new plan ?

 

There is now no excuse for inaction, Dutton is gone, the Libs are dead and buried as a political movement for several years.

 

What is Albanese waiting for??

 

How many dead Palestinians? How many starving children will it take?

 

Meanwhile, the mainstream media continues to manage the optics. As John Menadue observes, Palestinian voices are pre-emptively silenced unless they first denounce Hamas. Israeli suffering is individualised; Palestinian suffering, if acknowledged at all, is abstract, collective, and somehow inevitable. “Genocide is not newsworthy,” Menadue writes, “when its victims are brown, Muslim, and stateless.”

This has not just been a war but a campaign of settler colonialism dating back to 1948. That media imbalance didn’t begin with Gaza 2023 — it’s woven into the fabric of how Israel-Palestine is reported. “Palestinians and Muslims,” he notes, “are treated as less human, less valuable than white Jews or white Christians.”

This is the great Australian dissonance: a nation that speaks the language of values while trading in silence. A political class that speaks of peace while greenlighting weapons exports. A media that insists on balance while platforming a one-sided narrative of victimhood and vengeance.

And so we return to that question, the one posed repeatedly by writers and activists alike: 

So what?

What does it mean to write 1,000 articles, give 100 speeches, sign endless petitions, if none of it shifts the needle of public discourse? Is Australia condemned to be a spectator — or worse, an enabler — as the destruction continues?

One possible answer lies in transforming the margins into the mainstream. Pearls and Irritations, and platforms like it, must evolve beyond being forums of conscience. Their voices — reflective, informed, courageous — must reach the national stage.

Australia cannot afford more of the same. The next time a prime minister speaks of compassion, it must not be in front of party faithful but in front of the world — demanding, at the very least, a ceasefire, humanitarian access, and accountability for crimes against humanity.

Because Gaza is not just a headline. It is a test of what kind of country we are. And the world is watching.

Anthony Albanese should have been referred to the International Criminal Court as an accessory to genocide in Gaza, making him the first leader of a Western nation to be referred to the ICC under Article 15 of the Rome Statute. 

Other material:

  • More than 1400 lawyers signed an open letter to Australian elected representatives dated 8 November 2023
  • 137 legal scholars against genocide open letter 
  •  92 page letter (communique)  to ICC 
  •  Media release referring to above letter “endorsed by King’s Counsel Greg James AM and well over 100 senior counsel and barristers, retired judges, law professors and academics from around Australia” 

 

 

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