MORE than 100 build high-tech infantry fighting vehicles will be built in Geelong for the Army under a major defence contract worth billions of dollars.<\/p>\n
South Korean company Hanwha Defence has won the right to manufacture the 129-vehicle fleet at its plant near Avalon Airport.<\/p>\n
The cost is expected to be between $5 billion and $7 billion, subject to final negotiations.<\/p>\n
Defence Industry Minister Pat Conroy announced the contract today (Thursday, July 27), saying it was one of the largest projects in the Army’s history.<\/p>\n
“We’re also committed to building these vehicles in Australia,” he said.<\/p>\n
“This represented the best value for money due to the compelling strategic advantages and the economic benefits to the nation.<\/p>\n
“To maintain our national security, we need to be able to build critical defence capabilities here rather than relying on overseas supply chains.”<\/p>\n
The fleet is being built under the Australian Defence Force’s long-running LAND 400 Phase 3 program – a project to acquire and support up to 450 infantry fighting vehicles.<\/p>\n
The next-generation vehicles will replace the existing M113 armoured personnel carriers. which have been in service since the mid-1960s.<\/p>\n
The first of the new vehicles will be delivered by early 2027, with all 129 to be completed by late 2028.<\/p>\n
Mr Conroy said the vehicles’ capabilities include providing protection to soldiers, being able to manoeuvre in coastal areas and long-range firing.<\/p>\n
“The interlocking capabilities will modernise the Australian Army to operate in a coastal environment… that will place the army at the heart of our strategy of deterrence,” he said.<\/p>\n
Chief of the Army Lieutenant General Simon Stuart said the announcement was significant.<\/p>\n
“Today’s announcement is a big step forward in Army’s ability to deliver on national defence with relevant and credible capability as part of an integrated ADF,” he said.<\/p>\n
The announcement comes after the recent release of a defence strategic review, which recommended new infantry fighting vehicles for the ADF.<\/p>\n