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Australia has announced plans to “reassess” the manufacturing of 155mm artillery shells and accelerate production of naval 5-inch shells for the Australian Defence Force and for export to allies.
The Department of Defence will reportedly reassess its manufacturing approach on 155mm, ceasing the current procurement activity and refining its 155mm projectile requirements prior to reapproaching the market.
“The 2024 National Defence Strategy and the 2024 Australian Guided Weapons and Explosive Ordnance Plan highlighted the importance of establishing and uplifting Australia’s domestic missile and munitions manufacturing capabilities,” Defence said in a statement.
“The 2024 Integrated Investment Program includes $16–21 billion over the decade to invest in Guided Weapons and Explosive Ordnance priorities.
“In 2023, Defence tendered for the establishment of a domestic forging capability to manufacture 155mm M795 artillery projectiles.
“Since then, there have been notable changes in the global defence industrial base. This has included a surge in international demand for naval 5-inch and significant increase in global capacity to produce 155mm projectiles.
“This has required Defence to reassess its manufacturing approach on 155mm projectiles. In addition, Defence will work with industry to accelerate production of naval 5-inch for the Australian Defence Force and explore export opportunities to support international partners.
“As a result, Defence has decided to cease the current procurement activity and will refine its 155mm projectile requirements prior to reapproaching the market.
“Defence remains committed to working with industry to deliver a 155mm M795 forging capability by 2028, producing 15,000 rounds each year with further additional capacity that will be determined as part of the reapproach to market.”
Australian armaments and munitions company NIOA welcomed the announcement and confirmed it remains committed to delivering the capability required by the Australian Defence Force (ADF) and allied forces.
Domestic manufacturing capabilities for large-calibre munitions is a key pillar of both the 2024 National Defence Strategy and the Guided Weapons and Explosive Ordnance (GWEO) Enterprise, which collectively aims to reduce reliance on global supply chains and ensure the ADF can sustain itself during times of conflict or regional crisis.
The announcement follows a Defence review of the initial 2023 tender process, which sought to establish a sovereign forging and manufacturing capability for 155mm M795 projectiles.
Due to global events, Defence has made the strategic decision to pause the current procurement activity for 155mm projectiles and refine its requirements.
The government remains committed to developing a sovereign 155mm forging capability, with an ambition to produce 15,000 projectiles per year by 2028, with further growth subject to future demand and defence planning.
In addition, Australia’s 2024 Integrated Investment Program allocates between AU$16 billion and AU$21 billion over the coming decade towards the GWEO initiative.
