Australian-owned NIOA and European defence company MBDA have signed a memorandum of understanding to explore manufacturing and supply-chain cooperation on the French-made MISTRAL short-range air-defence missile, the companies announced at the Indo Pacific International Maritime Exposition in Sydney on 5 November 2025.
The MoU opens the possibility for assembly or production of Australian-made warheads for the MISTRAL family and for Australia to become part of the global MISTRAL supply chain. If realised, Australia could become the first country outside France to produce the system, the partners said.
The MISTRAL is a very short-range air-defence (VSHORAD) system that operates in fire-and-forget mode. Its high manoeuvrability and supersonic speed deliver short interception times and allow it to counter threats ranging from aircraft and helicopters to drones, cruise missiles, gunboats and loitering munitions.
MBDA says the latest MISTRAL 3 has a success rate of more than 98 per cent; the company recently delivered its 2,000th missile to European customers.
NIOA group CEO Rob Nioa said the agreement supported the Australian Government’s Defence Industry Development Strategy and the drive for closer industrial collaboration with trusted international partners.
“MBDA are world leaders in the missile industry. With the Australian Government’s focus on domestic manufacturing of a wider range of munitions and the expansion of partnerships with industry, the timing is right for NIOA and MBDA to take this first and significant step,” Mr Nioa said. “Co-design, co-development, co-production and co-sustainment of capabilities such as MISTRAL missiles will make effective use of combined resources, strengthening collective defence industrial capacity, enhancing interoperability and accelerating technology development.”
Pierre-Marie Belleau, business development executive at MBDA, said the companies’ complementary experience made the deal a natural fit.
“MBDA is pleased to enter into this MoU with NIOA. Both businesses have complementary experiences in delivering world-leading products for their customers. MISTRAL is a class leading VSHORAD capability, ideally suited as an effector in a multi-layered and integrated air defence. NIOA is playing a key role in delivering munitions for the Australian Defence Force. Together we can provide the solutions to counter the evolving drone threat armed forces now face and deliver the best VSHORAD capability available on the market,” he said.
Belleau added MBDA’s commitment to long-term industrial partnership with Australia: “Industrial cooperation and partnering with domestic companies for local production is a core part of the MBDA DNA. Signing this MoU is an example of MBDA’s commitment to this.”
The move underlines a broader push to localise munitions and air-defence capabilities in Australia, responding to growing demand for resilient, sovereign supply chains and enhanced regional air-defence readiness.
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