Senator the Hon Katy Gallagher

The Albanese Government has taken the next significant step towards building the nation’s conventionally-armed, nuclear-powered submarines in South Australia, through a tripartite agreement between the Australian Submarine Agency, ASC and BAE Systems to commence preparatory work for the build of Australia’s SSN-AUKUS submarines. 

In March this year, the Albanese Government announced ASC and BAE Systems as our sovereign submarine partners to build Australia’s SSN-AUKUS submarines at the Osborne Naval Shipyard. 

Today, these world-leading companies have entered into a collaborative mobilisation agreement which will enable planning, workforce development and procurement activities that will set the foundations for this complex, yet vital project.

Through these arrangements, ASC and BAE Systems will:

• develop critical plans and schedules for the mobilisation of the SSN-AUKUS build program;
• invest in developing and growing the submarine workforce;
• procure long lead items;
• undertake risk-reduction activities, initially through validating infrastructure requirements, configuring production, test and evaluation processes and conducting prototyping activities.

The Albanese Government’s commitment to an Australian-built nuclear-powered submarine for the Australian Defence Force will not only keep Australians safe but will also develop and expand our local industrial base and supply chains, supporting Australian jobs, business and infrastructure.

ASC and BAE Systems – and once established, the Joint Venture – will continue to work collaboratively within the wider submarine enterprise as we progress toward our most historic defence capability acquisition yet.

Quotes attributable to the Deputy Prime Minister, Richard Marles:

“Today’s announcement is another major milestone towards the construction of Australia’s SSN‑AUKUS submarines in South Australia.

“These mobilisation arrangements provide the foundation that will underpin a generational uplift in Australia’s industrial base for the construction of this critical capability.

“Construction of Australia’s first SSN-AUKUS submarine will commence in Australia by the end of this decade and the work to deliver this capability is already well underway. This will be a whole-of-nation undertaking, one which will provide Australia with robust and resilient supply chains that enhance our national security.”

Quotes attributable to the Minister for Finance, Katy Gallagher:

“This is a significant day for Australia’s shipbuilding capacity and the future of our domestic industry.

“The arrangements signed between ASC and BAE Systems will ensure the strong foundations necessary for the construction of Australia’s nuclear-powered submarines.

“Developing program timeframes, investing in workforce development, and planning for future procurement are all critical steps towards ensuring our sovereign submarine partners can deliver the next generation of Australia’s naval defence capability.”

Quotes attributable to the Minister for Defence Industry and Capability Delivery, Pat Conroy:

“AUKUS is the largest and most important defence capability project Australia has ever embarked upon and it is happening now. This agreement is the latest example of that.

“The enduring partnership between ASC and BAE Systems solidified today is a monumental strategic asset for Australia and one that will provide decades of certainty for our defence industrial base and financial security for thousands of workers.

”This agreement enables critical scopes of work, including the development of the Australian shipbuilding workforce and supply chain, and underscores the Albanese Government’s commitment to a future made in Australia.”