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Minister for Defence Industry Pat Conroy has announced the signing of a joint statement of intent and the opening of a new joint office to support the delivery of the Australian government's AU$21 billion (US$13.7 billion) Guided Weapons and Explosive Ordnance Enterprise.
Australia and the United States have taken a major step towards co-producing guided weapons, following the signing of a joint statement of intent and the establishment of a new joint office to bolster cooperation in this strategically vital field.
The initiatives form part of the Albanese government’s plan to invest up to AU$21 billion (US$13.7 billion) over the next decade to establish a sovereign Guided Weapons and Explosive Ordnance Enterprise, a key element in strengthening Australia’s defence industrial base and supporting thousands of local jobs.
Signed in Washington DC between the Australian government, the US Department of Defense and Lockheed Martin Corporation, the joint statement of intent represents a major milestone in Australia’s efforts to build sovereign guided weapons manufacturing capability. It also signals a further deepening of the nation’s strategic partnership with the United States, reinforcing both countries’ shared commitment to a resilient, interoperable and sustainable defence industrial base.
Minister Conroy said the agreement reflected the strength and maturity of the Australia–US alliance, saying, “This statement of intent reaffirms the strength of our long-standing alliance with the United States and our shared commitment to regional and global security.”
The agreement lays the groundwork for joint development and production of critical long-range strike systems, beginning with variants of the Guided Multiple Launch Rocket System (GMLRS) and Precision Strike Missile (PrSM) families.
Importantly, the statement acknowledges that a viable and sustainable guided weapons industry in Australia will require production at scales beyond the Australian Defence Force’s immediate needs, with the goal of integrating Australian-made munitions into the US-led global supply chain.
Australia remains on track to begin GMLRS production before the end of 2025, with plans to expand into more advanced weapons manufacturing in the years ahead.
Minister Conroy added, “It is a clear demonstration of our determination to build a resilient, interoperable and sovereign industrial capacity that benefits both nations. The Albanese government is accelerating the delivery of advanced capabilities that keep Australians safe while creating high-skilled jobs and strengthening our defence industrial base.”
The signing coincides with the opening of a new joint coordination office in Huntsville, Alabama, dedicated to advancing cooperation on the PrSM program. The facility will act as the central hub for collaboration on the acquisition, development, production and sustainment of the PrSM capability.
The Precision Strike Missile is a long-range, high-precision weapon system with a range exceeding 500 kilometres and is a key component in strengthening Australia’s land and maritime strike capability under the Defence Strategic Review’s focus on long-range deterrence.
Stephen Kuper
Steve has an extensive career across government, defence industry and advocacy, having previously worked for cabinet ministers at both Federal and State levels.
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