Victorian manufacturers and businesses are set to benefit from new funding which will assist them to compete for and win lucrative defence contracts, securing local jobs and boosting our economy.
Minister for Industry Support and Recovery Ben Carroll today announced that $10 million from the Andrews Labor Government’s Victorian Land Systems Fund will be used to support local businesses to join Hanwha Defense Australia’s supply chain to deliver the $1 billion LAND 8116 Self Propelled Howitzer program.
The funding, which will be distributed through a targeted investment stream and the Supply Chain Uplift Program, will maximise the value of Hanwha’s defence contracts to the state.
The Supply Chain Uplift Program provides grants of up to $100,000 for Victorian small to medium-sized businesses to improve their capability through activities like upgrading business systems and facilities, gaining international accreditations and certifications, or undertaking research and product development.
Hanwha was the successful bidder for LAND 8116 and is one of two final bidders for the multibillion-dollar LAND 400 Phase 3 Infantry Fighting Vehicle program being selected by the Commonwealth Government.
Hanwha is also establishing a $170 million Armoured Vehicle Centre of Excellence at the Avalon Airport Industrial Precinct with support from the Government, further boosting the state’s defence capabilities and creating more than 300 highly skilled local jobs in design, engineering and advanced manufacturing.
More than 6,300 businesses provide services and manufacturing in Victoria’s defence sector, including equipment across military vehicle production, maritime design, aerospace components and cyber security.
The sector contributes $8.4 billion to the Victorian economy each year and supports around 24,300 jobs across the defence industry. Applications for the Supply Chain Uplift Program open in mid September 2022. For more information visit business.vic.gov.au/scup.
As stated by Minister for Industry Support and Recovery Ben Carroll
“This funding is about maximising opportunities for local businesses and manufacturers to enter Hanwha’s supply chain, ensuring more Victorian-made components are used in the company’s products worldwide.”
“The Supply Chain Uplift Program is aimed at lifting standards across Victorian SMEs and making them more competitive suppliers to Hanwha, securing more local jobs and setting them up for other lucrative contracts.”
As stated by Member for Lara John Eren
“We’re backing local companies to be part of Hanwha’s ongoing success in the Geelong region – and that means jobs for our community.”
As stated by Hanwha Defense Australia CEO Richard Cho
“The Land Systems Fund from the Victorian Government will allow Hanwha Defense Australia to invest in both our growth and that of our supply chain.”