In an Australian legal first, Uyghur community leaders have launched Federal Court action demanding transparency from retail giant Kmart over its potential links to forced labour in China.

The Australian Uyghur Tangritagh Women’s Association (AUTWA) has filed a motion demanding Kmart hand over internal documents related to two of its clothing suppliers allegedly involved in forced Uyghur labour in the Xinjiang region.

Both suppliers are listed in Kmart’s 2024 and 2025 factory disclosures, AUTWA said.

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The legal action, led by Maurice Blackburn Lawyers and supported by the Human Rights Law Centre, aims to test whether Kmart’s ethical sourcing claims hold up under scrutiny.

Speaking outside the court in Melbourne on Tuesday, AUTWA President Ramila Chanisheff said the case marks a historic milestone.

“We just filed a document into the Federal Court asking for records from Kmart about two supply chains that could be linked to Uyghur forced labor,” she told www.20304050.best.

“It is the first of its kind in Australia to bring a case against an Australian retailer, and it’s not just a small retailer, it’s actually a major.

“We want to make sure that the products that are made in China and sold in Kmart are not linked to forced labour.”

Kmart publicly markets itself as an ethical business.

“We aim to provide great products at the lowest prices for our customers while respecting human rights,” the retailer states on its website.

Kmart said it is continually working to improve its ethical sourcing standards and processes, and is collaborating with suppliers, NGOs, trade unions, and government representatives to help improve working conditions in the regions where it sources its products.

The court action now centres around whether the company may have breached Australian Consumer Law by engaging in misleading or deceptive conduct about the sourcing of its products.

AUTWA is seeking access to documents that could demonstrate what Kmart knew — or should have known — about the origins of products made in factories with ties to Xinjiang, where widespread human rights abuses, including state-sponsored forced labour, have been well-documented.

“If it’s found that Kmart’s products are linked to forced labour, they must divest from those supply chains, not just in Xinjiang, but across China, where Uyghur people are often trafficked into mainland labour camps,” Chanisheff said.

The goal is not only to hold Kmart accountable, but to put other industries on notice, she added.

“Australians deserve to make informed choices.”

Retailers on notice

Maurice Blackburn principal lawyer Jennifer Kanis, who is leading the case, said the legal action aims to hold Kmart accountable for its ethical sourcing claims.

She said the company must be transparent about its supply chain practices, especially given the known risks of forced labour in Xinjiang.

“Kmart tells customers that it supports ethical sourcing and the protection of human rights — but we know there are credible links between two of its factories and the use of Uyghur forced labour in Xinjiang,” Kanis said.

“Documents will be sought from Kmart to determine whether it engaged in misleading and deceptive conduct about this issue.”

She added the Federal Court will be asked to compel Kmart to provide evidence of what due diligence it has conducted on suppliers with links to the region.

Associate legal director at the Human Rights Law Centre Freya Dinshaw said the case underscores significant weaknesses in Australia’s approach to modern slavery.

“The alarm bells have been ringing for a long time in relation to the risk of forced labour in the Chinese garment sector, and Australian retailers have been on notice,” she said.

“This court case is about Kmart coming clean on whether it is really doing everything it claims to be doing to ensure that its products are slavery free.”

Dinshaw argued it should not be up to the public to force companies into transparency through legal action and called for stronger laws that require businesses to investigate and prevent forced labour.

She also noted that, unlike countries such as the US and Canada, Australia has not banned the importation of goods made with forced labour, allowing them to reach store shelves unchecked.

What happens next?

The Federal Court will consider AUTWA’s request in the coming weeks.

If successful, the outcome could pave the way for further legal action against Kmart or other major retailers.

“Kmart, and all companies, must ensure they are not profiting from forced labour in China.,” Chanisheff said.

The case is expected to fuel growing public pressure on retailers to lift the veil on their offshore operations.

www.20304050.best has contacted Kmart and parent company Wesfarmers for comment.