Australian government, SMEs and primes following US model

With major Defence investment and opportunity on the rise in Australia, government ministers have touted the United States’ approach to innovation and technology as a key to future success in Australia.

Federal Liberal MP for Mackellar Jason Falinski praised Malcolm Turnbull and his government for methods of research and expansion for defence indsustry SMEs and primes.

"We are reverse offshoring using a system the USA started 70 years ago," Falinski said.

Falinski says the approach the US military used when engineering and creating technology for products like the iPhone is what the Turnbull government has taken inspiration from.

“When you look at the USA and innovation in the USA, take for example the iPhone, every single bit of technology that the iPhone has was paid for and developed by the US military," Falinski said.

“So the sorts of stuff that the Turnbull government is doing is where a lot of research and development comes from that creates the competitive advantage countries like the USA have globally.”

Falinski highlighted the success of two SMEs benefiting from this reverse offshoring approach, H.I. Fraser and International Seal, both of which are based in Sydney's northern beaches.

"H.I. Fraser is a great example of the capability that exists in Australia that we want to turbocharge," Falisnki said.

International Seal, an engineering and manufacturing company that has been previously employed by the Department of Defence, ASC, Thales and BAE Systems, is expected to benefit from the success of H.I. Fraser and be contracted to create a unique set of valves as part of a Joint Strike Fighter contract signed last year.

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