Williamtown Missile Factory to Boost Defence Capabilities and Local Jobs

Newcastle, 22 August 2024 – The Albanese Government is set to invest up to $850 million in partnership with Kongsberg Defence Australia to build a missile manufacturing and servicing facility at Williamtown, Newcastle. This project is part of a broader strategy to strengthen Australia’s long-range strike capabilities while creating significant employment opportunities in the Hunter region.

The new facility, located in the Newcastle Airport precinct, will be one of only two in the world capable of producing Naval Strike Missiles (NSM) and Joint Strike Missiles (JSM), the other being in Norway. The project is expected to generate over 500 jobs during construction and will inject nearly $100 million into the local economy. Upon completion, the factory is anticipated to employ around 100 people.

Construction of the facility is set to commence later this year, with full production expected to begin in 2027. The missiles produced will enhance the Australian Defence Force’s (ADF) precision strike capability, aligning with the priorities outlined in the 2024 National Defence Strategy. The strategy aims to boost Australia’s self-reliance and ensure munitions manufacturing can be conducted domestically.

The NSM and JSM are advanced anti-ship cruise missiles designed to defeat high-threat enemy warships and can also be deployed against land-based targets. The NSM, already tested by HMAS Sydney in July 2024, will be integrated into the Hobart-class destroyers and Anzac-class frigates, replacing the ageing Harpoon missiles.

Defence Industry and Capability Delivery Minister Pat Conroy highlighted the significance of the investment, noting that it supports both national security and local industry. “This initiative is about investing in high-tech manufacturing and building a sovereign defence industry that aligns with our strategic priorities. It enables us to fast-track capability delivery to the ADF while providing substantial economic benefits to the Hunter region,” Minister Conroy said.

The partnership with Kongsberg Defence Australia is part of the Government’s Guided Weapons and Explosive Ordnance (GWEO) Enterprise, which has allocated up to $21 billion over the next decade for capability development. The new facility will not only cater to the needs of the ADF but could also support international partners, with potential for export and sustainment services.

The establishment of this factory represents a significant step forward in Australia’s defence strategy and local manufacturing capacity, ensuring the nation is better equipped to face future challenges while also supporting regional growth.