Naval shipbuilding a boost to WA’s defence industry

The Federal Government’s commitment to ensure continuous shipbuilding in Western Australia recognises the fundamental role the State will play in Australia’s defence over the coming decades, says CCIWA CEO Chris Rodwell. 

In response to the Naval Surface Fleet Review, the Government today announced an $11.1 billion boost in the 2024-25 Federal Budget over the next decade to fund the enhanced lethality surface combatant fleet.

The Federal Government has announced an $11.1b investment to overhaul Australia’s Naval fleet.

The announcement will see the Henderson naval precinct, south of Perth, play a critical role in building and maintaining Australia’s fleet of eight general-purpose naval frigates.   

A fleet of six drone ships with long-range missiles is also expected to be built in WA. 

In addition, a strategic shipbuilder pilot will see Army’s Landing Craft Medium and Heavy (Littoral Manoeuvre Vessels), as well two new Evolved Cape-Class Patrol Boats – all of which will be built at Henderson by Austal. 

The projects will create at least 1,200 new local jobs over the next decade, the Government said. 

“The delivery of an enhanced lethality surface combatant fleet and sovereign shipbuilding industry will help secure Australia’s economic prosperity and trade, and help keep Australians safe,” says Defence Minister Richard Marles. 

A ‘significant’ boost for WA 

CCIWA Chief Executive, Chris Rodwell, says the decision is a significant boost for WA’s defence industry and for the State’s plans to diversify our economy. 

“Our State has long had the potential to play a much larger role in Australia’s defence industry and this is a major step towards reaching that potential,” he says. 

“Securing the build and maintenance for these ships in Perth will create thousands of direct and indirect jobs for decades to come, which is great for our economy. It gives the certainty to make long range investments.” 

As part of the decision, infrastructure at the Henderson Naval Base will be significantly upgraded. 

Rodwell says the decision will help to strengthen the foundation of WA’s defence industry. 

“With AUKUS set to significantly increase the navy’s footprint in WA, there are significant opportunities for WA businesses to become involved in defence contracting,” he says. 

“Thanks to the strength of our resources sector, WA has significant experience in marrying cutting-edge technology with industry, and many of those skills run adjacent to what will be need in defence. 

“We’re very confident that there’s a bright future for WA’s defence industry.” 

To be part of WA’s peak business organisation, get in touch via 1300 422 492 or [email protected].       

Share This Post

You may also be interested in

Housing demand robust as supply remains constrained
Housing finance remains robust in WA despite falling slightly, down 1.9% over the month to February. 
Read more »
Uranium mining, payroll tax lead March policy efforts
Uranium mining, payroll tax lead CCIWA's policy efforts in March.
Read more »
WA start-up sector gets welcome boost
WA's start-up sector has received a welcome boost with the State Government announcing a three-year partnership with UK-based start-up incubator Founders Factory.
Read more »