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Doors opened for AU manufacturers to enter US submarine supply chains

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Doors opened for AU manufacturers to enter US submarine supply chains

Minister for Defence Industry Pat Conroy states that Australian suppliers are welcome to join the supply chains of the United States’ submarine construction programme. 

In a statement to the Australian Industry and Defence Network, Minister Conroy stated that the submarine project would result in the creation of 20,000 jobs for the country’s economy, with government investing an additional $3 billion over the forward estimates in improving the capabilities of Australian SMEs and corporations. 

“It’s about being part of the supply chain for the UK programme and even the US programme,” he said.  

On the other hand, Conroy stated that the AUKUS decision to equip the navy with nuclear-powered submarines was not only motivated by the desire to build Australian submarines. 

According to Minister Conroy, the decision to go nuclear is an epoch-shaping decision. 

“This government made a conscious decision to invest in the Australian industrial base to produce submarines, nuclear-propelled submarines, in this country,” he added.  

According to Minister Conroy, the government has also decided to extend the previous administration’s commitment to ongoing naval shipbuilding in Adelaide to continuous shipbuilding in Western Australia’s Henderson Maritime Precinct. 

“Industry can’t make the investment unless they know that there is the money going in right now to drive that project, and that’s why we’ve brought forward $1.5 billion to make a commitment to long-range strike in GWEO and $4.1 billion over the forward estimates,” he said. 

The Minister’s address covered a wide range of topics, including the need for speed in defence purchases, the government’s planned contracting reforms, the ongoing defence sector review, and the need for the government to take more risks, including employing Australian-developed manufacturing capabilities. 

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