Fortnightly ALC Government Relations Update No.10 29 May to 11 June 2026 

Home Fortnightly Alc Government Relations Update No 10 29 May To 11 June 2026 2

CEO UPDATE

Dr Hermione Parsons, CEO ALC

Australia’s freight transport and logistics systems are a core part of its social and economic infrastructure. Over the past fortnight, ALC’s advocacy has focused on ensuring government policy reflects this role. Fuel security, freight rail reliability, regional road resilience, port access, heavy vehicle charging, defence preparedness and supply chain continuity are not separate issues. They are all part of the same national operating system. Current fuel pressures, corridor disruptions, and infrastructure constraints continue to show that Australia’s resilience depends on freight moving safely, efficiently, and reliably. ALC will continue to advocate for policy settings that recognise the essential role of freight transport and logistics in supporting the economy, national security, and communities across Australia.

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UPCOMING MINISTERIAL & GOVERNMENT MEETINGS 

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UPDATES ON PREVIOUS SIGNIFICANT MEETINGS

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POLICY SUBMISSIONS
WORK IN PROGRESS

 

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POLICY SUBMISSIONS
LODGED

For further details or to contribute to these discussions, please email Samantha.leighton@austlogistics.com.au

Highlights of ALC Meetings 29 May 2026 – 10 June 2026

This update on the Transport Resilience and Capacity Kickstart program – known as TRACK – is based on our recent discussions with the Australian Department of Infrastructure, Transport, Regional Development, Communications and the Arts.

The Department has confirmed that industry will have input before the guidelines are finalised. This is important, as the details of the guidelines will determine whether the program is practical for operators, freight customers and the broader supply chain.

The program is expected to be rolled out in three rounds. The first round is proposed to be open to above-rail operators, with rounds two and three potentially open to other participants depending on what is learned from round one.

At this stage, first- and last-mile road legs are not expected to be covered, even when they are needed to make a rail or coastal shipping movement viable. Net additional freight volume will be defined and verified through a baseline methodology to be set out in the guidelines.

The Department has advised that the program will be national, rather than targeted to specific corridors. Diesel savings, rather than mode-specific allocations, will be the focus. Coastal shipping is also expected to be eligible, and funding will be provided through grants.

On governance, the Department has advised that the Australian Rail Track Corporation’s (ARTC) input will be valued as an infrastructure operator, but the program will be run from within the Department. Reporting measures are still being developed.

ALC will continue to engage with the Department as the guidelines are developed. Our focus will be on ensuring the program reflects the practical issues raised by members, including eligibility, first- and last-mile costs, customer incentives, baselines, reporting, and simple administration.

ALC participated in the Port Infrastructure Working Group convened under the Australian Maritime Defence Council. The meeting focused on defence port infrastructure, national resilience, AUKUS-related port requirements and the role of industry in supporting Australia’s defence preparedness.

For more information, please email Samantha.leighton@austlogistics.com.au

GEOPOLITICAL & TRADE UPDATE

Development
Energy markets remain exposed to disruption through the Strait of Hormuz, with reporting on 26 May showing oil prices back above US$100 a barrel.

Why it matters
For ALC members, the risk is not only fuel price. It is whether shipping, ports, terminals, road tankers, rail links and last-mile distribution can keep fuel moving under pressure.

Implications for ALC advocacy
Fuel security settings must recognise freight transport and logistics as essential to keeping goods moving.

On 2 June, the Office of the United States Trade Representative released findings from 60 Section 301 investigations into forced labour and import controls. Australia is included in the proposal, alongside the EU, UK, Canada, Japan, India and New Zealand. The proposed duties are not yet in force. Public comments are due in early July, with hearings scheduled to begin on 7 July.

The immediate issue for freight transport and logistics is compliance risk. Customs enforcement, supplier due diligence, product origin, and forced-labour assurance requirements are becoming increasingly burdensome trade barriers. Members with US-linked supply chains should monitor tariff exposure, documentation requirements and customer requests for origin and labour-sourcing assurances.

Further reading:

USTR

Global Trade Alert

On 5 June, the World Trade Organisation reported that global merchandise trade has remained resilient in the first half of 2026, but momentum is beginning to soften. The WTO Goods Trade Barometer eased from 102.3 in January to 101.7. Container shipping and air freight remain positive, but growth is moderating.

For members, the signal is uneven demand rather than a broad downturn. Some trade lanes and commodity groups remain supported, particularly electronics and AI-related goods, while other sectors are weaker. This matters for network planning, equipment positioning, warehouse demand, port throughput, air freight capacity and customer forecasts for the second half of 2026.

Further reading:

WTO Goods Trade Barometer

The Strait of Hormuz and wider Middle East security environment remain a key risk for freight and energy markets. Even as vessels continue to move, the market remains exposed to higher fuel costs, insurance pressure, route changes, schedule disruptions, and carrier capacity management.

For Australian supply chains, exposure is both indirect and direct. Members should continue to monitor bunker costs, fuel surcharges, shipping reliability, forward bookings, and customer inventory settings, particularly for energy, fertiliser, chemical, and industrial input supply chains.

Further reading:

Maersk June market update 

Freightos market update

ALC IN THE NEWS

The Weekly Times – Call to cap diesel rebate for big business to fund farm energy shift

The Weekly Times – Threats to Australia’s fuel security ‘nowhere near over’, top logistics chief warns

Insurance News – NTI webinar panel examines fuel crisis

Prime Mover Magazine – MegaTrans takes centre stage

Big Rigs – More trucking fleets grounded as crackdown gathers momentum

SUBMISSIONS LODGED

C-RIS on implementing an FLCB for heavy vehicle charges

For further details or to contribute to these discussions, please email: policy@austlogistics.com.au

Issued by:
Samantha Leighton,
Head of Government and Industry Affairs

Period: 29 May to 11 June 2026

2026

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