(1901), in Australian history, fundamental legislation of the new Commonwealth of Australia that effectively stopped all non-European immigration into the country and that contributed to the development of a racially insulated white society (racism). Representing a widespread sentiment in all of the Australian colonies, the desire for a coordinated immigration bar against nonwhites was a spur in the 1890s toward Australian federation. Thus, the act was among the first pieces of commonwealth legislation enacted. It was directed primarily against Asians, who, because of Europeans' experience with influxes of Chinese labourers, were thought to be unassimilable and a threat to the European standard of living. The act practically excluded all “coloured” people. The essential clause of the act, rather than naming particular races or groups for exclusion, provided for a dictation test in a European language to be administered to prospective immigrants; a South Asian with a knowledge of English could be given a test in French, German, or, if need be, Lithuanian.

While the act has never been repealed, immigration policy has undergone considerable revision since World War II, and between 1947 and 1981 the number of persons in Australia of non-European descent more than doubled. In the early 21st century roughly two-fifths of all new immigrants to Australia were Asian.