Australia’s Strategic Investment in Precision-Guided Missile Production
In a significant step forward for Australia’s defence capabilities, the government has announced a major investment of up to $850 million in partnership with Kongsberg Defence Australia. This collaboration aims to establish domestic manufacturing and servicing of advanced Naval Strike Missiles (NSM) and Joint Strike Missiles (JSM).
The announcement was made by Pat Conroy, Minister for Defence Procurement, during a press conference in Canberra. A new facility will be constructed near Newcastle Airport in New South Wales, close to where Australia’s F-35 fleet is maintained. This facility is expected to create approximately 100 jobs.
Strategically, this move will benefit countries across the Indo-Pacific that use these sophisticated weapons by shortening their supply chains. The JSM is particularly crucial for the F-35, as it can be carried internally, preserving the aircraft’s stealth capabilities until the missile is deployed. Australia has shown interest in the JSM since 2014, and other F-35 operators in the region include Japan, Singapore, South Korea, and the United States.
The NSM, which is being acquired by the Royal Navy for its Type 23 frigates and Type 45 destroyers, is a fifth-generation subsonic missile designed for precision strikes on both sea and land targets. It will be deployed on Australia’s Hobart-class destroyers and Anzac-class frigates, replacing the older Harpoon missile. Recently, Australia successfully test-fired the NSM from the HMAS Sydney, demonstrating its range of 200 miles. The NSM is also used by Japan, Malaysia, and the United States.
According to a government statement, the new facility in Australia will be one of only two in the world capable of producing both the NSM and JSM, with the other located in Kongsberg, Norway.
This initiative is part of Australia’s broader Guided Weapons and Explosive Ordnance (GWEO) Enterprise, which has added Kongsberg Defence Australia as a strategic partner alongside Lockheed Martin and Raytheon. The GWEO program is supported by a commitment of up to $21 billion over the next decade as outlined in the Government’s 2024 Integrated Investment Program.
HMAS Sydney fires Royal Australian Navy’s first Naval Strike Missile during a SINKEX off the coast of Oahu, Hawaii as a part of Exercise Rim of the Pacific (RIMPAC) 2024. (RAN LSIS Daniel Goodman)
