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‘Let Us See the Audits’: Kmart Faces Legal Battle over Alleged Links to Uyghur Forced Labour

AUSTRALIA, AUG 5 – The case challenges Kmart's ethical sourcing claims amid allegations linking two suppliers to Uyghur forced labour in Xinjiang, where $27 billion of goods at risk enter Australia annually.

  • A Uyghur advocacy group based in Australia has initiated Federal Court proceedings against Kmart in 2024-2025, accusing the retailer of sourcing products from two factories in Xinjiang linked to forced labor.
  • This move comes amid increasing allegations from international organizations and the United Nations that China is committing crimes against humanity and genocide through the coercion of Uyghur labor in Xinjiang.
  • Kmart denies the allegations and states it has maintained an Ethical Sourcing Program for over 15 years that regularly monitors suppliers through audits and investigations.
  • The legal case demands Kmart produce documents proving due diligence and transparency, testing whether it engaged in misleading conduct about ethical sourcing claims.
  • The case underscores gaps in Australia’s current modern slavery legislation, prompting demands for more robust laws similar to those in the US and Canada to stop goods produced with forced labour from entering the Australian market.
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The West Australian broke the news in Australia on Tuesday, August 5, 2025.
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