Thales strengthens local munitions capability with new agreement

Thales Australia has expanded its partnership with General Dynamics Ordnance and Tactical Systems (GD-OTS) to offer the latest munitions solutions to Australian Defence Force.

A US based company, GD-OTS manufactures direct and indirect-fire munitions, mortar weapons and systems, artillery projectiles, bomb bodies, ball powder and solid propellants, non-lethal products, and force protection products for the United States military and its allies.

Minister for Defence, Christopher Pyne, congratulated Thales Australia and said the agreement, signed yesterday at the LAND FORCES 2018 Exhibition in Adelaide, will result in co-production and technology transfer for a variety of critical munitions products, with both companies committed to the growth of Australia’s Sovereign Industrial Capability.

“This agreement will make Thales Australia a part of the GD-OTS’s international supply chain, which could facilitate additional exports into the United States from Australia across a range of munitions, supporting the Australian Government’s goal of becoming a Top 10 global defence exporter,” Minister Pyne said.

Read: DefendTex, Thales Australia win Defence contracts worth $2.2m combined

“Also covering medium calibre, mortar, tank and artillery ammunition, this agreement demonstrates a comprehensive, strategic approach to meeting the needs of the Australian Defence Force and could progress to include manufacturing the bombs for our region’s Joint Strike Fighters.”

Thales has a supply chain reaching 130 small-to-medium businesses in Australia. Minister Pyne said the new agreement will ensure the company, and their SMES in its supply chain, are well equipped to continue manufacturing propellants, munitions, ammunition and small arms.

“By partnering with GD-OTS, Thales Australia is strengthening the identified Sovereign Industrial Capability in munitions and small arms research, design, development and manufacture and generating economic benefit along its supply chain through potential export opportunities.”

“The Australian Government is maximising its $200 billion investment over the next ten years in defence capability in Australia – the largest in our peacetime history – and it is encouraging companies like Thales Australia are choosing to invest in Australia”, Minister Pyne said.