Australia Secures $72M Contract for Artillery Manufacturing Expansion
The Australian government has awarded a $72 million contract to Rheinmetall NIOA Munitions to establish a new artillery projectile forging facility in Queensland. This investment aims to enhance local manufacturing capabilities and strengthen supply chain resilience for the Australian Defence Force.

The Australian government has signed a $72 million contract with Rheinmetall NIOA Munitions to create a forging facility for 155mm M795 artillery projectiles in Maryborough, Queensland, set to begin production by the end of 2028. The facility will produce around 15,000 projectiles annually, with the potential for increased output, and is expected to create up to 50 skilled jobs during its construction and initial operations.
This new capability supports key military platforms, enhancing Australia's sovereign defense manufacturing. In addition, a $9.2 million investment in Thales Australia will modernize the naval 5-inch ammunition production line in Benalla, Victoria. These initiatives are part of a broader $26 billion to $36 billion investment in guided weapons and explosive ordnance over the next decade, aimed at bolstering domestic supply chains and munitions stockpiles.




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