Teacher education in Australia is subject to a great deal of policy interest at both Federal and State levels; it is also part of education policy shifts for the whole university sector. This paper explores Australian teacher education policy in terms of its governance, focusing on three current "sites of contestation": university policy, budgetary policy, and Federal-State relations. In considering the "Australian case", the authors aim to provide a case study of the ways in which "globalising trends" are played out in particular cultural, historical and political contexts. (Contains 1 note.)