Trams in Australia are now used public transport only in Melbourne, and to a much lesser extent, Adelaide and Bendigo. Most Australian cities however used to have extensive tram networks however these networks were largely dismantled during the 1950s and 1960's.

While Melbourne is world-famous for having the largest operating tram network today, almost all of Australia's major capital cities historically had extensive tram systems. Sydney once boasted one of the largest tram networks in the world before it was dismantled in 1961 (though a modern Light Rail system has since returned). Brisbane, Adelaide, Perth, and Hobart all had significant tram networks that were largely replaced by diesel buses during the 1950s and 60s as cars became the dominant form of transport. Today, Adelaide is the only other city besides Melbourne to have continuously operated a tram line (the Glenelg line), while newer light rail networks have been built in cities like Gold Coast, Canberra, and Newcastle to help combat modern traffic congestion.