The nuance is the Online Safety Act 2021 does not have an "app distribution blocking notice" or "app blacklisting notice" or similar, therefore, I think the effect is Apple can't stop a Russian website distributing apps to Australian users who seek them out, but Apple can use a received "app removal notice" to then blacklist the relevant app on existing devices?
That has already happened on several occasions (Apple refusing notarisation, since you still need to be a member of their Developer Program thus subject to their ToS and all the crazy in it).
Hopefully, the next revision of EU's DMA and equivalent in other countries will close the loop hole.
Or maybe... John Ternus would wake up one day and decide to be a better human being and just fix this globally for everyone.
/s