Defence, Grants and funding, Growing sovereign capability, Manufacturing News, New South Wales

$2 billion Navy maintenance contract to boosts jobs

Axiom Precision Manufacturing entered a contract with Kongsberg Defence Australia for the manufacture of ground support equipment.

The Australian Government is supporting almost a thousand defence industry jobs and strengthening national security, with a new $2 billion contract to maintain and sustain Australia’s naval fleet in Sydney.

Thales Australia has been appointed as the Regional Maintenance Provider for the new Regional Maintenance Centre East at Defence’s Garden Island Precinct.

This will create up to 120 direct defence industry jobs and around 800 jobs in the broader industrial ship repair workforce. It will ensure Australia has the sovereign industrial base to maintain and sustain Australia’s naval fleet into the future.

Minister for defence industry, Pat Conroy, said, “I am pleased to be at Garden Island to announce this new $2 billion partnership with Thales Australia, which will create almost a thousand secure, high skilled, local jobs in defence industry.”

“Growing our sovereign naval shipbuilding industrial capability is not just good for jobs, it’s imperative for our national security.”

“I’m focussed on making it easier for local industry to partner with Defence, and this partnership with Thales Australia will help to do that.”

The seven-year contract includes incentives to ensure local and regional small and medium businesses are given a fair opportunity to compete for work.

The new maintenance centre will support the sustainment of Navy’s Canberra class Landing Helicopter Docks, Hobart class Guided Missile Destroyers and HMAS Choules Landing Ship Dock.

It is a part of a new national approach to sustainment, establishing a consolidated network of maintenance centres around Australia, to support continuous naval shipbuilding and respond to a more challenging strategic environment.

Defence’s partnership with Thales Australia at Garden Island demonstrates the Government’s ongoing commitment to partnering with industry as recommended by the Defence Strategic Review.

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