Indo Pac 2025 AUKUS focus

Two AUKUS announcements dominated Indo-Pac this week. Defence Industry Minister Pat Conroy announced a strategic contract that paves the way for Australian battery technology to be used in the AUKUS submarine design, supporting local innovation and hundreds of jobs. South Australian-based PMB Defence is partnering with BAE Systems in the United Kingdom to enable the potential integration of its advanced nickel zinc battery system into the design of the future conventionally armed, nuclear-powered submarines. PMB will also supply battery technology for other Royal Navy submarines. The contracts between PMB and BAE, valued in excess of $34 million, have already seen PMB add 20 staff to its workforce in South Australia with the company anticipating adding more jobs as it scales up to meet production requirements. These new jobs add to the 450 positions already created at BAE and ASC as a result of the AUKUS program. This was followed with an agreement which will see the AN/BYG-1 combat system – used on Australia’s Collins-class submarines and US nuclear-powered submarines – incorporated into the design for the nuclear-powered boats to be built in Adelaide and Britain. The British-owned shipbuilder BAE Systems signed the deal on with the combat system designer, General Dynamics Mission Systems, together with Raytheon Australia and French-owned company Thales. The advanced software system will integrate the boats’ weapons and sensor controls and typically accounts for about 20 per cent of a submarine’s costs. The agreement will ensure commonality between the future Australian and British systems and requires the UK to switch from using its own combat system. BAE Systems Australia CEO Craig Lockhart said the deal was a major strategic milestone, ensuring the SSN-AUKUS submarines would receive “the most effective and advanced combat system” available.

Oz firms clear nuclear standards hurdle

The first cohort of Australian businesses benchmarked through H&B Defence’s Australian Submarine Supplier Qualification (AUSSQ) Program have been successfully validated against HII’s Newport News Shipbuilding (NNS) division standards, paving the way for their formal qualification into the US nuclear submarine enterprise. The companies, which include CQMS, AW Bell, AJAX, Hycast, Intercast, Supashock, Camco, Stella, Ferra, Axiom and Marand, have undergone rigorous assessments after being selected to join AUSSQ for their respective strengths in high-demand areas: castings, forgings, and precision machining. Each supplier is now progressing through a series of required uplift activities to secure formal qualification into the NNS supply chain. They seek to join eight other Australian businesses already qualified. Of these suppliers, three have already received formal Requests for Quotation (RFQs) from NNS, opening direct access to US contract opportunities. H&B Defence Managing Director Tim Brown said the pace a

Coalition disarray on net zero

The Coalition has fallen into further disarray after junior partner the Nationals dumped a commitment to net zero emissions by 2050 and the latest Newspoll showed Coalition primary voter support falling to its lowest level on record. The Nationals dumping of the emissions target and watering down of 2035 targets poses a direct challenge to Opposition Leader Sussan Ley’s leadership and efforts to keep the Coalition united amid sharp divisions on climate change and immigration. The dumping and the Newspoll result have also raised the spectre of another party split as the Liberals opt to retain some form of commitment to try and win back climate change conscious seats in metropolitan areas. The Coalition primary vote support fell to just 24 per cent – the lowest on record since the current Newspoll started a primary vote count in 1985. Ms Ley’s personal support also fell to the equal lowest level on record for an Opposition Leader at -33. The Coalition vote is bleeding to One Nation. Meanwhile Prime Minister An

SME fund for the West

The Western Australian Government has launched a A$2 million AUKUS SME Readiness Fund to help local defence businesses break into the supply chains of the AUKUS submarine program. Delivered over four years, the initiative will provide grants covering up to 50 per cent of total project costs – capped at A$100,000 – for small and medium enterprises seeking to qualify for US and UK defence supply chains. Defence Industries Minister Paul Papalia says the fund is part of the Cook Government’s broader strategy to boost local manufacturing. Mr Papalia said the AUKUS SME Readiness Fund would help ensure Western Australia remained at the forefront of national defence growth. WA will also open the fourth round of its Defence Ready Initiative, which has already supported nearly 50 local SMEs to improve their capabilities and enter global supply chains. Together, the two programs aim to prepare Western Australia’s industry to compete internationally to contribute to the nation’s long-term AUKUS commitments.

Collins maintenance extension

Defence has signed a contract extension with Raytheon Australia for sustainment of the combat system for the Collins class submarines. Raytheon Australia will provide ongoing in-service support for the Collins class submarine combat system following a three year and nine-month contract extension worth over $270 million. Defence Deputy Secretary David Hanley said the contract extension demonstrated Defence’s commitment to investing in Australian industry and workers to maintain a sovereign naval shipbuilding and sustainment capability. The Government continued to invest in priority capability enhancements and sustainment for the Collins class to ensure it remains a potent and credible capability to conduct operations to safeguard Australia’s maritime approaches and sea lines of communication. This contract extension will directly support job security for over 150 highly skilled workers across Australia. Mr Hanley said the extension of the contract demonstrated Defence’s commitment to Australia’s national nava