The Australian Government has announced an investment of up to $850 million in partnership with Kongsberg Defence Australia to focus on the manufacturing and servicing of missiles at a new facility in Williamtown, near Newcastle.
This project marks a critical step forward for Australia’s defence industry, as the new factory, situated within the Newcastle Airport precinct, is set to create over 500 jobs during the construction phase, the government said in a media release.
The economic impact on the Hunter Region is expected to exceed $100 million. Upon completion, the facility will employ approximately 100 people, contributing long-term benefits to the local community.
The factory will produce and service Naval Strike Missiles (NSM) and Joint Strike Missiles (JSM) for the Australian Defence Force (ADF).
This facility will be one of only two in the world capable of producing these advanced missiles, with the other located in Kongsberg, Norway.
“Today’s announcement is another example of the Albanese Government’s commitment to keeping Australians safe while also supporting a future made in Australia,” stated the Minister for Defence Industry and Capability Delivery Pat Conroy.
He added, “This is about investing in our advanced, high-tech manufacturing industry and developing our sovereign defence industrial base in areas which have been identified as strategic priorities,” emphasising the importance of accelerating capability delivery to the ADF.
The JSM, compatible with the F-35A aircraft, and the NSM, an anti-ship cruise missile, are crucial elements of Australia’s defence arsenal.
Both missiles are designed to defeat advanced enemy warships and can be deployed against land-based targets.
The NSM is set to enhance the maritime and land strike capabilities of Hobart-class destroyers and Anzac-class frigates, replacing the aging Harpoon anti-ship missile.
HMAS Sydney successfully test-fired a NSM in July 2024, demonstrating the missile’s effectiveness.
The establishment of the Williamtown manufacturing facility not only strengthens Australia’s defence posture but also reinforces the country’s self-reliance in munitions production.
The initiative is a clear indicator of the government’s commitment to fostering a sovereign defence industrial base.
“We cannot deliver the generational uplift in capability outlined in the National Defence Strategy without our industry partners, and we look forward to working with Kongsberg Defence Australia as a GWEO Strategic Partner,” Conroy concluded.
The construction of the factory is slated to begin later this year.
