$850m investment to manufacture missiles in Newcastle

The federal government will contribute up to $850 million in partnership with Kongsberg Defence Australia to manufacture and service missiles at Williamtown near Newcastle.

The project, which involves construction of a factory in the Newcastle Airport precinct employing 100, is expected to generate almost $100 million in economic benefits to the local area.

The factory will manufacture and service Naval Strike Missiles (NSM) and Joint Strike Missiles (JSM) to be used by the Australian Defence Force (ADF). It will be one of only two facilities in the world capable of producing NSM and JSM.

KONGSBERG’s NSM will replace the Harpoon Anti-Ship Missile capability on the Royal Australian Navy’s (RAN) ANZAC Class Frigates and HOBART Class Destroyers.

Construction of the is expected to start later this year.

The Minister for Defence Industry and Capability Delivery Pat Conroy said: “This is about investing in our advanced, high-tech manufacturing industry and developing our sovereign defence industrial base in areas which have been identified as strategic priorities.

“We cannot deliver the generational uplift in capability outlined in the National Defence Strategy without our industry partners, and we look forward to working with Kongsberg Defence Australia as a GWEO Strategic Partner.”

The JSM – which can be fitted to the F-35A aircraft – and NSM are modern anti-ship cruise missiles designed to defeat highly capable enemy warships and land-based targets.

Picture: Naval Strike Missile