The 25-year-old Aston Villa player underwent scans after reporting pain before the hosts thumped Oman 4-0 on Tuesday to advance to the quarter-finals.
"It's disappointing for the team and especially for Chris that he is unable to continue in the tournament," head coach Ange Postecoglou said in a statement.
"It has been determined it is in Chris's best interests that he returns to Aston Villa for rehabilitation to ensure he can get back on the pitch."
Undefeated Australia will top Group A if they draw with or beat South Korea in Brisbane on Saturday and they may have to do so without skipper Mile Jedinak, who is uncertain of when he will return after twisting his ankle in the 4-1 win over Kuwait.
"It's coming along well. It's one of those things that we are monitoring day by day and we're happy with how it's all going," the 30-year-old midfielder said of the injury picked up in the opening match of the tournament last week.
"Will that mean I play on Saturday? I'd be silly to say I could or I couldn't.
"I think we have just got to wait and see how it all goes," the Crystal Palace captain added.
"I'm trying my utmost to be ready and that is just me on a personal level.
"And I think a lot of other players in my position would be doing the same thing. No-one wants to miss a game of football."
(Reporting by Amlan Chakraborty in New Delhi; Editing by John O'Brien)
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