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Home Manufacturing News

$400 million for Navy vessel maintenance

by Dae Hong
March 19, 2025
in Defence, Grants and funding, Manufacturing News
Reading Time: 2 mins read
A A
$400 million investment

Image: Walter_D/stock.adobe.com

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The Federal Government has invested more than $400 million into a contract with Navantia Australia to maintain vessels for the Navy.

This seven-year contract will support small to medium enterprises that play a vital role in Australia’s defence industry and national security. It will also secure about 200 local jobs for Australians primarily within Sydney, Melbourne and Perth.

Selected as the first multi-class Design Support Contractor, Navantia Australia will engage with Australian businesses to ensure work is spread across the domestic supply chain.

Their responsibilities will include the provision of design knowledge and through-life engineering on:

  • The Navy’s Canberra class helicopter landing docks and landing crafts.
  • The Supply class ships.
  • Hobart class guided missile destroyers.

“The Australian defence industry has grown under the Albanese Government and now employs more than 100,000 people,” said minister for Defence Industry and Capability Delivery Pat Conroy.

“This contract is yet another example of our commitment to supporting them and the businesses that employ them.”

As the first of several Design Support Contracts, this agreement is part of the $159 billion record investment by the government to sustain and support maritime capabilities over the next decade.

“Through this contract, we have secured 200 jobs and are supporting our sovereign defence industry which is delivering critical engineering work for our Navy and helping to keep Australia safe,” Conroy added.

“The Albanese Government is committed to ensuring more work on our naval vessels is done locally, supporting more work for Australian small and medium businesses and jobs for Australians.”

Tags: $400 million grantAustrailan Federal Governmentdefencelocal jobsNavy
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