Bad news for defence industry if Government doesn’t commit to a local build of submarines before election

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australian made defence logo2In light of the Prime Minister’s announcement of a potential double dissolution election on 2 July, the defence industry has said if the Federal Government does not commit to a local build of Australia’s future submarines before the start of the caretaker period, it will mean bad news for the local sector.

Chris Burns, national spokesperson of the Australian Made Defence campaign said the Government has been evading questions about the local build of submarines and that the true test is here in the lead up to the election.

“For months the Government’s response has been that they are waiting for the conclusion of the Competitive Evaluation Process before announcing the location of the build – but we know that if they were truly committed to it, they would say so,” said Mr Burns.

“It’s no secret the Government will struggle for a win in South Australia if submarines are not built in Adelaide’s shipyards. It’s a no brainer that if they were committed to building Australia’s future submarines there, they would have said so by now.

“Making a full commitment to a local build of our submarines, as well as our future frigates and commencing the build of offshore patrol vessels, in Adelaide’s shipyards, consistent with the recommendations of the RAND Review, will bring supply chain benefits to every state.

“For years there has been underinvestment in the sector, as decisions have beendelayed awaiting  the release of the White Paper, the Government then avoided decisions on submarines and offshore patrol vessels until the completion of their respective competitive evaluation processes.

“How long will industry have to wait for decisions and real, tangible commitment this time around?

“There was an opportunity for clearly showing their commitment to a local build of subs at the release of the White Paper, but instead they jargoned it with language around a ‘rolling acquisition program’.

“It’s not only the Australian defence industry that needs answers. It is the workers whose jobs are being lost, the business owners whose businesses have had to close up shop and Australian taxpayers who are missing out on the economic benefits of a strong and supported local defence industry.

“If the Federal Government is truly committed to a local defence industry, local skills, local jobs and innovation that will make our industry globally competitive – they will make a commitment to a local build of our submarines before the caretaker provisions kick in.

“The defence industry wants to invest now to promote the local sector. All we need is a true commitment that the Federal Government will deliver locally built ships and subs to promote skills, jobs and innovation,” said Mr Burns.

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