Lockheed Martin signs Avalon Airport deal to boost missile production

INTERNATIONAL defence manufacturer Lockheed Martin has signed a major deal with Avalon Airport to support the Australian production of guided weapons.

Under the teaming agreement, announced on Tuesday this week, Lockheed Martin Australia will lease an Avalon Airport facility to store essential equipment required for the domestic assembly of Guided Multiple Launch Rocket System (GMLRS) munitions used in the Australian Army’s HIMARS launcher vehicles.

The test equipment, tooling, jigs and fixtures will be stored at the site before being transported to a new domestic manufacturing facility, which will be built under the federal government’s Guided Weapons and Explosive Ordnance (GWEO) Plan.

Attendees at Tuesday’s announcement included Lockheed Martin Australia and New Zealand chief executive officer Warren McDonald, Deputy Prime Minister and Minister for Defence Richard Marles, Lara MP Ella George, and Linfox Airports executive chair David Fox.

Mr McDonald said the agreement was highly significant.

“This is an important milestone in the delivery of GMLRS production by the end of 2025 and the establishment of a sovereign guided weapons manufacturing capability in Australia,” he said.

“Linfox is a well-known and trusted Australian company with a network of partners across the nation. Our partnership will uplift local industry, provide regional economic benefits, and support government objectives under the GWEO Enterprise.”

Mr McDonald said Lockheed Martin Australia was also exploring opportunities to establish a permanent facility at Avalon Airport for the production and assembly of non-explosive munition components.

“These Australian-made components will boost domestic supply chain resilience and support industry uplift, underscoring a national commitment to establishing sovereign defence capabilities and strengthening Australia’s industrial base,” he said.

Mr Fox welcomed the teaming agreement.

“Avalon is proud to partner with Lockheed Martin in this exciting new chapter,” he said.

“This partnership recognises Avalon’s strategic position – leveraging Australia’s most skilled and established industrial workforce, positioned between Melbourne and Geelong and alongside key Defence operations at Point Wilson.

“Lockheed Martin Australia’s decision to establish a facility at Avalon further strengthens our growing industrial precinct, which already supports more than 2,000 workers on site. This development underscores Avalon’s critical role in supporting Australia’s sovereign defence capabilities.”