The Australian government has taken another significant step towards the Australian Army’s transformation to a littoral fleet, with the signing of two key contracts for Landing Craft Heavy and Landing Craft Medium. Together, these contracts – signed with Defence’s strategic shipbuilder Austal Defence Australia – represent a major investment in Australia’s sovereign shipbuilding capability and is expected to create over 1,100 direct and more than 2,000 indirect jobs, particularly in Western Australia.
The government is investing $4 billion into Army’s future Landing Craft Heavy littoral fleet through a new contract covering the scope, timeline and material requirements that will see eight vessels built at WA’s Henderson Shipyard. These vessels, designed by Damen Naval, will be capable of transporting more than 500 tonnes of long range precision strike weapons and other units by sea, greatly enhancing the Australian Defence Force’s amphibious capability and humanitarian and disaster relief.
Importantly, the contract represents a commitment by the government to support a future made in Australia, with an overall Australian Contract Expenditure of over 60 per cent – supporting local and regional businesses and incentivising industry investments in workforce, supply chains and infrastructure. The first tranche of these vessels will be constructed at the Common User Facility, before the program moves to a permanent location.
As part of the Landing Craft Heavy program, the government will also make available an initial $30 million for the Western Australian government to commence early works for interim replacement facilities for non-Defence industries that utilise the Henderson Common User Facility (CUF) to ensure they are afforded ongoing access to infrastructure.
Both the federal and state governments are committed to minimising the impacts to non-Defence industries at the CUF as work continues to deliver the Defence Precinct at Henderson, which will support 10,000 direct jobs over the next two decades.
This follows the government and Austal Defence Australia having signed a $1 billion contract to design, build and deliver 18 Landing Craft Medium vessels, further consolidating Western Australia as a national shipbuilding hub. Together, these milestones for the Landing Craft Heavy and Landing Craft Medium represent the largest recapitalisation of Army’s littoral capability since the Second World War. The expanded littoral fleet is central to Army’s rapid transformation under the 2024 National Defence Strategy and will significantly enhance the ADF’s ability to hold adversaries at risk, project and sustain capabilities and deny access to Australia’s northern approaches.
Deputy Prime Minister Richard Marles said: The Albanese Government is delivering continuous naval shipbuilding in the West, and the construction of landing craft vessels at Henderson will be the first step. These contracts will support thousands of direct and indirect jobs, while also equipping the Australian Army with the capabilities it needs for littoral manoeuvre and to undertake long range land and maritime strike. An increased focus on littoral manoeuvre will enable the ADF to respond more effectively in our region and keep Australians safe.”
Minister for Defence Industry Pat Conroy said: “The Landing Craft program will further strengthen our sovereign industry, supporting continuous shipbuilding in Western Australia and ensuring Australia has the industrial capability and depth to keep Australians safe. The combined delivery of landing craft capabilities is expected to create more than 1,100 direct and 2,000 indirect jobs, providing a sustained pipeline of work that incentivises defence industry investment in skills, supply chains and infrastructure.”
Western Australia government welcomes investment
The Western Australia government said it welcomed an initial $30 million worth of Commonwealth investment at the Australian Marine Complex (AMC) in Henderson. The initial investment into common use infrastructure will provide certainty and confidence to existing industries and ensure they have ongoing access to infrastructure to enable delivery of their commitments. Continuous shipbuilding will now start at the AMC, which will underpin around 10,000 jobs and strengthen the security and resilience of the nation.
This announcement comes as Western Australian shipbuilder Austal Defence Australia was confirmed to commence construction of the Australian Army’s landing craft under the Landing Craft Heavy (LCH) Program at the AMC valued at $4 billion. The LCH Program forms a key part of Western Australia’s continuous naval shipbuilding and sustainment pipeline, supporting the ongoing diversification of the Western Australian economy to continue to create quality jobs and business opportunities for Western Australians.
The program is a testament to the significant role Western Australia plays in safeguarding the nation and its commitment to building sovereign defence capabilities that are proudly Made in WA.
Western Australia Premier Roger Cook said: “This announcement reflects the strong partnership between my government and the Commonwealth, with $30 million committed initially to support vital infrastructure at the Australian Marine Complex. My government will continue working to ensure this investment delivers lasting benefits for our workforce, our economy, and Australia’s national security. This announcement is another example of our commitment to diversifying the WA economy so that it remains the strongest in the nation to continue to create quality jobs for Western Australians.”
Defence Industries Minister Paul Papalia said: “This investment supports Australia’s sovereign defence capability by ensuring key naval assets are built and sustained in Western Australia. The AMC is central to that effort, and this funding ensures it can continue to support shipbuilding while accommodating future growth across the precinct.”
Planning and Lands Minister Carey said: “This investment marks a major step forward for Western Australia, underpinning thousands of jobs and reinforcing our State’s growing leadership in sovereign shipbuilding and advanced manufacturing. AMC has already created more than 50,000 jobs and contributed more than $3 billion to the WA economy over its lifetime, and today’s announcement will only continue to build on this.”
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“is expected to create over 1,100 direct and more than 2,000 indirect jobs, particularly in Western Australia.”
Massive shortage of skilled trades in WA now so where are all these people and their families going to come from.
Where are they going to live? There’s a massive shortage of housing stock and the situation in regards housing stock is getting progressively worse, not better.
How long will it take to recruit them?
All this whilst Fleet Base West is also looking to increase its skilled workforce by 50%
Delivery in 2038 is a complete pipedream.
Get Damen to build the LCH’s offshore.
Forget any ridiculous notion of building any of the Mogamis here.
Are these medium and large landing craft ships going to be crewed by army or navy personnel? And what are your thoughts about the four remaining WA-built Arafura OPVs being unarmed?
They will be crewed by Army. I’m honestly lost for words when it comes to the Arafura class. Stupidity on top of stupidity.
So, we going to get the capabilities back. We had LCHs and LCM8 in the 80s. Back to the future; again.