Daily Bulletin

Men's Weekly

.

  • Written by Michelle Grattan, Professorial Fellow, University of Canberra
The Conversation

The government is speeding up the establishment of its planned $1 billion Sovereign Guided Weapons Enterprise, which aims to boost Australia’s own defence production capabilities as it faces a deteriorating security outlook.

The defence department will now start the process of selecting a strategic industry partner to operate a sovereign guided weapons manufacturing capability to produce missiles and other weapons on the government’s behalf .

The new enterprise will specialise in guided missiles for use across the defence force.

The increasing assertiveness of China and Australia’s deteriorating relations with that country, as well as the lessons of COVID, have strengthened the push for greater sovereign capability.

Scott Morrison, who will announce the acceleration in Adelaide on Wednesday, said in a statement, “Creating our own sovereign capability on Australian soil is essential to keep Australians safe, while also providing thousands of local jobs in businesses right across the defence supply chain.

"As the COVID-19 pandemic has shown, having the ability for self-reliance, be it vaccine development or the defence of Australia, is vital to meeting our own requirements in a changing global environment.”

Peter Dutton, who was only sworn into the defence portfolio on Tuesday, said the announcement “builds on the agreement the Morrison government achieved at AUSMIN last year to pursue options to encourage bilateral defence trade and to advance initiative that diversify and harness our industry co-operation”.

Dutton said Australia would work closely with the United States “to ensure that we understand how our enterprise can best support both Australia’s needs and the growing needs of our most important military partner”.

The Australian Strategic Policy Institute, a defence think tank, estimates Australian will spend $100 billion in the next 20 years on buying missiles and guided weapons.

ASPI defence expert Michael Shoebridge wrote in June last year:

“The ADF gets its missiles from US, European and Israeli manufacturers, at the end of long global supply chains. And, when the home nations of these manufacturers need missiles urgently themselves, their needs can get in the way of meeting ours […]

"The deteriorating strategic environment in our region, combined with the heightened understanding of how vulnerable extended global supply chains are, means the current situation has become unacceptable.”

Companies that could be a potential partners include Raytheon Australia, Lockheed Martin Australia, Kongsberg, and BAE Systems Australia. The partner will need to be suitable to work with the US and have strong links with Australian supply chain businesses.

The new Minister for Industry, Science and Technology, Christian Porter released a National Manufacturing Defence Roadmap on Tuesday, for a 10 year plan for investment.

Authors: Michelle Grattan, Professorial Fellow, University of Canberra

Read more https://theconversation.com/australias-plan-for-manufacturing-missiles-to-be-accelerated-158160

Business News

How Thorough Component Inspections Protect Your Supply Chain from Costly Failures

In the modern world, where manufacturing has become highly interconnected, the weakest components of the supply chain can only make the chain as strong as it is. One defective component might cause ...

Daily Bulletin - avatar Daily Bulletin

3PL Logistics in Australia: Strengthening Supply Chains for Growing Businesses

Australia’s vast geography and diverse consumer markets make logistics a critical part of business success. As companies scale and customer expectations rise, many turn to 3pl logistics australia to...

Daily Bulletin - avatar Daily Bulletin

Why Choosing The Right Shopify Web Developer Shapes Long-Term Ecommerce Success

Building a Shopify store that performs reliably over time requires more than surface-level setup. Working with an experienced Shopify web developer ensures that the platform is configured with inten...

Daily Bulletin - avatar Daily Bulletin

Speed Dating For Business