Defence Industry Minister Melissa Price has announced seven small businesses that will support the delivery of LAND 400 Phase 2 and LAND 121 Phase 5B, two of the Australian Army’s major recapitalisation projects.
Visiting the new headquarters of Supashock Australia in Adelaide, Minister Price said the seven companies will share in nearly $20 million of work under the LAND 400 Phase 2 and LAND 121 Phase 5B.
LAND 400 Phase 2 will provide Army with 211 Boxer combat reconnaissance vehicles – which Rheinmetall will assemble at its facility in south-east Queensland – while LAND 121 Phase 5B will provide heavy and medium logistics vehicles and modules.
Minister Price said, "I congratulate them on the opening of their new facility, and thank Premier [Steven] Marshall for his government’s support of this project. This is an excellent example of how the big defence companies are working with local businesses on these large projects."
The seven contracts are the initial contracts as part of around $1.9 billion of work to be undertaken by Australian industry. Each company will be part of a growing cohort of local small businesses already delivering parts and services to Rheinmetall as the company builds its network of suppliers across Australia and establishes a local capability to underpin a national military vehicle industry.
The companies include:
- Melbourne-based Cablex: vehicle systems and C4I cabling for the first 25 Boxer vehicles;
- Sydney-based Eylex: crew communications equipment including headsets for the first 25 Boxer vehicles;
- Melbourne-based Tectonica Australia: driver’s aids for night time situational awareness for the first 25 Boxer vehicles;
- Brisbane-based ABI Coating Specialists: paint and finish for the first 25 Boxer vehicles;
- Ballarat-based Bartlett: tarpaulins for selected Rheinmetall MAN high mobility logistics vehicles;
- Adelaide-based Supashock: spare wheel carriage system for Rheinmetall MAN Heavy Transport vehicles; and
- Newcastle-based Varley: various modules for the Rheinmetall MAN high mobility logistics vehicles.
Minister Price welcomed the opening of Supashock’s new facilities today, which marked the expansion of the company into Australia’s defence industry and the creation of 60 new jobs.
"Supashock is a shining example of how our investment in Australia’s defence industry is creating new opportunities and more jobs for small businesses across Australia," Minister Price said.
The $5.2 billion LAND 400 Phase 2 program will have Rheinmetall deliver 211 8x8 Boxer CRVs to the Australian Army.
Under the company's offering to the Commonwealth, Rheinmetall will build a majority of the vehicles at the company's specialised Military Vehicle Centre of Excellence in Queensland.
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The first 25 vehicles will be built in Germany as part of the technology transfer process, with the remaining vehicles to be built in Australia. The Boxer CRV will support Australian industry, sourcing specialised armoured steel from Australian steel companies BlueScope Steel and Bisalloy, with engineering support provided by Melbourne-based Supacat Asia-Pacific.