Hammond, 33, called time on his glittering career after making 256 appearances for the national team.
Hammond was a member of the Australia team that won Olympic gold and bronze medals, two World Cup titles and two Commonwealth Games gold medals.
He retires as one of only seven players to play more than 250 matches for the Kookaburras.
"After playing for the Kookaburras for 14 years I've decided the time is right to end my playing career with the Australian national team," Hammond said.
"Having won so emphatically last Sunday in The Hague I can now retire proud of our team success and of my own individual career."
Hammond's retirement comes a day after Ric Charlesworth, 62, announced he was stepping down as Australia's coach before next month's Commonwealth Games in Glasgow.
Australia beat the Netherlands 6-1 to win the World Cup final in The Hague last weekend.
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