The division was re-raised as a Militia formation during the Second World War, and was mobilised for the defence of North Queensland in 1942, when it was believed that the area was a prime site for an invasion by Japanese forces. Most of the division was concentrated in the Townsville area, although the 11th Brigade was detached for the defence of Cairns and Cape York. In 1943, the division took part in the final stages of the Salamaua–Lae campaign, in New Guinea, and then later in 1944 captured Madang during the Huon Peninsula campaign. In 1944–1945, the division was committed to the New Britain campaign, before being relieved in July 1945. The division was disbanded in September 1945 following the end of the war.