Manufacturing News

Companies share in $20 million of work for Australian Army

On August 7, Minister for Defence Industry, Melissa Price, announced that seven small businesses were selected to work with Rheinmetall Defence Australia on LAND400 Phase 2 and LAND 121 Phase 5B.

The two projects, which combined will include almost $20 million in contracts, cover the supply of 211 Boxer combat reconnaissance vehicles, and heavy and medium logistics vehicles and modules. Rheinmetall will assemble the Boxer vehicles in its facility in South East Queensland.

“This is an excellent example of how the big defence companies are working with local businesses on these large projects,” said Price.

The supplying companies include businesses such as Cablex, which supplies vehicle systems and cabling, Eylex, which supplies communications equipment, Tectonica Australia, which provides aids for night time situational awareness, and ABI Coating Specialists, who will paint and finish the vehicles.

The announcement was held at the new Adelaide headquarters of Supashock, which will supply the spare wheel carriage systems for the heavy transport vehicles. Price congratulated the company on expanding into defence and employing 60 new people.

“Supashock is a shining example of how our investment in Australia’s defence industry is creating new opportunities and more jobs for small businesses across Australia,” said Price.

Supashock also benefited from $2m from the South Australian government’s Future Jobs Fund and Automotive Supplier Diversification Program, demonstrating the role that smaller companies have to play in Australian manufacturing, highlighted Price, at the opening.

“Small businesses are the backbone of the Australian economy — and they’re as much a part of our defence industry as Defence Primes,” said Price.

Previously, Supashock has produced damping and suspension systems for autonomous vehicles, and combined with their current contracts to supply the Australian Defence Forces, will allow the company to increase its export potential, said Price.

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