
Australia’s Defence Industry Minister, Pat Conroy, has signed a significant agreement with the United States aimed at enhancing the country’s missile production capabilities. The statement of intent, formalized with the US Department of War and Lockheed Martin on March 12, 2024, outlines plans for Australia to co-develop advanced munitions, including the guided multiple launch rocket system and the precision strike missile (PrSM), which boasts an impressive range of 500 kilometers.
This agreement precedes Prime Minister Anthony Albanese‘s upcoming visit to Washington, where he will engage in discussions with Donald Trump. The meeting comes at a time when there are concerns regarding the US President’s commitment to Australia’s defence partnerships. Minister Conroy emphasized that his trip was pre-planned and not solely to prepare for the Prime Minister’s meeting with Trump.
“My trip here has been long scheduled, well in advance of the meeting that had been arranged,” Mr. Conroy stated during an interview with Sky News. He expressed his intention to meet with senior officials from the Trump administration, congressional leaders, and representatives from the US defence industry.
Plans for Missile Production
The agreement signifies that Australia aims to start missile production by the end of this year. Mr. Conroy outlined the ambitious goal of establishing a factory capable of producing up to 4,000 guided multiple launch rocket system missiles, which are currently being utilized in Ukraine. “That 4,000 number is in excess of what we need for our own stockpiles,” he noted, indicating that these missiles could also support the needs of the US and its allies.
He pointed out the existing global backlog in missile production as countries increase output in response to changing strategic circumstances. “This is about making Australia safer by equipping the Australian Army with long-range strike capabilities while also contributing to allies and partners around the world,” he added.
Regional Security Concerns
The Albanese government has characterized the current strategic environment facing Australia as the most challenging since World War II. The swift military build-up by China has heightened security concerns across the region. Minister Conroy has described the situation as Australia being in “the greatest arms race in our region since 1945.”
China is expected to dominate discussions between Mr. Albanese and Mr. Trump during their meeting on March 20, 2024. The Trump administration has identified China as the primary foreign policy challenge for the United States. Earlier this year, US Defence Secretary Pete Hegseth warned of the possibility of an imminent move on Taiwan, heightening tensions in the region.
Washington has also reportedly urged Australia to deploy its future fleet of nuclear-powered submarines in the event of a conflict over Taiwan, further underscoring the importance of strong defence ties between the two nations. This latest agreement marks a critical step in fortifying Australia’s military capabilities, ensuring that the country is better positioned to respond to emerging threats while reinforcing its alliances in an increasingly complex geopolitical landscape.