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In a significant boost to Australia’s defence industry, the Albanese government has unveiled a new initiative aimed at expanding opportunities for local businesses to support AUKUS.
The Australian Submarine Supplier Qualification Pilot Program is set to offer more domestic companies the chance to contribute to the nation’s defence future.
HII Australia has secured a contract worth an initial $9.6 million to deliver the pilot program over the next two years, with the option to extend based on performance. HII is well recognised as the largest military shipbuilder in the United States and is one of only two companies involved in constructing American nuclear-powered submarines.
The pilot is designed to fast-track the identification and qualification of Australian suppliers and products into the United States’ submarine industrial base. It will be delivered in partnership with H&B Defence, a joint venture between HII and Babcock, which brings decades of nuclear submarine vendor qualification experience to the table.
Deputy Prime Minister and Minister for Defence Richard Marles said, “An Australian submarine industrial base capable of building and sustaining a persistent, potent and sovereign multi-class submarine capability is vital to the defence of Australia, and this pilot initiative with HII Australia is another important step to this being achieved.”
A key element of the initiative is its focus on engaging small and medium-sized enterprises across Australia, including those that have not previously been involved in the submarine industrial base. This approach is seen as critical to strengthening and expanding Australia’s sovereign defence industrial capability for years and decades to come.
Minister for Defence Industry and Capability Delivery Pat Conroy said, “The new Australian Submarine Supplier Qualification Pilot provides an additional pathway for Australian suppliers to access the US Virginia Class supply chain.”
The program builds on the success of recent collaborations between HII Australia and both the South Australian and Western Australian governments, and it complements the existing Defence Industry Vendor Qualification program.
“Leveraging the expertise of companies like HII Australia, whose origins are rooted in our AUKUS partner submarine programs, will enable Australian industry to benefit from generations of lessons learned and forge ahead developing a strong, skilled sovereign workforce,” Minister Conroy added.
The Albanese government remains committed to opening up new avenues for Australian businesses – even those not traditionally linked to defence – to tap into a multi-decade, multibillion-dollar market, all while supporting the submarine programs of Australia’s AUKUS partners.
