$4.1 billion for guided missiles, $2.5bn for local manufacture

The federal government is committing $4.1 billion to acquire more long-range missile strike systems, including a $2.5 billion downpayment for the establishment of a large-scale guided weapons manufacturing industry base in the country.

Responding to the priorities of the Defence Strategic Review, the government said it would acquire land-based maritime strike and long-range missile launchers, replenish guided weapons and explosive ordnance (GWEO) stocks and establish sovereign missile and munition manufacturing facilities in Australia.

Canberra announced today it had allocated $2.5 billion for Australia’s planned missile manufacturing partnership – the Guided Weapons & Explosive Ordnance Enterprise.

The previous Coalition government had allocated $1 billion for the GWEO Enterprise.

Investment in the GWEO Enterprise will fund manufacturing guided weapons and their critical components to improve self-reliance.

Cash will also go to the critical enablers including increasing testing and research capabilities and rapidly expanding storage and distribution networks to accommodate growing GWEO inventories.

This will be guided by the development of ‘concrete, costed plans’ presented for government consideration by mid-2024.

The outcome will be manufacture of selected long-range strike missiles and increase local maintenance of air defence missiles, as well as manufacture of other types of munitions, including 155mm artillery ammunition and sea mines.

The federal government has previously announced two initial Strategic Partners in the GWEO enterprise – Lockheed Martin Australia and Raytheon Australia.

Over time local companies have been announced as joining the partnership, including the Australian Missile Corporation which is owned by Australian-owned defence manufacturer NIOA to facilitate collaboration between industry, academia, state governments and defence SMEs.

Queensland based NIOA does not have a history of manufacturing missiles, but in August its joint venture company Rheinmetall NIOA Munitions produced its first 155mm projectiles (pictured) at a new factory in Maryborough, Queensland.

The $1.6b announced for Long Range Strike Capabilities accelerate the delivery of additional High Mobility Artillery Rocket Systems (HIMARS), and the acquisition of Precision Strike Missiles (PrSM) to deliver multi-domain strike effects.

According to a federal government statement: “We are reshaping the Australian Army and modernising it for the current strategic circumstances.

“This investment in key capabilities will see the Australian Army’s current range for artillery grow from 40 kilometres to in excess of 500 kilometres.”

Further reading:
DEFENCE REVIEW SLASHES INDUSTRY PROGRAMMES, REFOCUSES PROCUREMENT
THE NAVY IS THE FUTURE OF DEFENCE, BUT ROUGH SEAS PREDICTED

Picture: NIOA/first 155mm projectile producer at Maryborough