The Federal Government has signed a new Memorandum of Understanding for PrSM (Precision Strike Missile) production, sustainment and follow-on development with the United States.
This development is the Government’s next step towards increasing the Australian Defence Force’s long-range strike capabilities and supporting domestic defence industry,
The MoU provides the ADF access to PrSM munitions and establishes PrSM as a cooperative program between Australia and the United States.
This opens the door for Australian industry participation in the PrSM supply chain, including for locally manufactured components and sub-components.
The MoU also provides options for future domestic manufacturing and maintenance of PrSM in Australia, with negotiations on options expected to commence later this year.
Deputy Prime Minister Richard Marles and United States Secretary of Defense Pete Hegseth welcomed the signing of the MoU during their meeting on the sidelines of the Shangri‑La Dialogue, building on the outcomes of the 2024 Australia United States Ministerial Consultations (AUSMIN).
“Australia’s capability and technology cooperation with the United States is a critical part of our Alliance,” said Marles.
“The Albanese Government’s investment in the Precision Strike Missile will expand and accelerate land-based long-range strike capabilities.”
“This will enable deterrence against potential threats and ensure the Australian Defence Force is equipped to meet our strategic circumstances and keep Australians safe.”
PrSM is a next generation surface-to-surface missile that can deliver potential effects at longer ranges, providing enhanced lethality to Defence’s integrated and focused joint force.
The missile can be fired from High Mobility Artillery Rocket System launch vehicles. The first of these vehicles arrived in Australia in March 2025, giving the Australian Army a world‑leading strike capability.
Defence is contributing approximately $310 million over 10 years to become a full cooperative partner in the PrSM program.
Defence will also invest around $150 million over the next five years to acquire the initial quantities of the capability required to establish the first Long Range Fires Regiment.