# Australia Expands Domestic Missile Production

Australia’s Guided Weapons and Explosive Ordnance (GWEO) program is advancing domestic missile and munitions production, with A$26–36 billion identified in the 2026 National Defence Strategy. Progress includes local GMLRS test firings, planned Australian manufacture of Kongsberg missiles, and a Kongsberg Australia–Zone 5 Technologies MoU exploring local production of long-range strike, air-defense, and counter-drone systems for Australia and New Zealand. The funding figure describes the program’s identified scale, not a specific contract award. Supply-chain dependence on the United States, workforce shortages, and delays coordinating facility locations remain risks for delivery and industrial expansion.

- Australian and international manufacturers, component suppliers, and workforce and training providers may find opportunities as the program builds domestic production capacity.
- Kongsberg and Zone 5 Technologies are exploring a manufacturing and supply-chain collaboration; the MoU is not itself a contract award.
- Companies should evaluate how their capabilities support locally scalable production and resilient supply chains, while accounting for the identified workforce and facility-location challenges.

**Jurisdictions:** international
**Industries:** Defense & Military
**Topics:** Grants & Funding
**Published:** October 06, 2026

### Government Entities
- Australian Department of Defence
- Guided Weapons and Explosive Ordnance Group (GWEO Group)
- Australian federal government
- Australian state governments

### Vendors
- Kongsberg (GWEO program partner and prospective local missile manufacturer; MoU signatory with Zone 5 Technologies)
- Zone 5 Technologies (MoU signatory exploring local guided-missile manufacturing with Kongsberg Australia)
- Lockheed Martin (GWEO program partner and GMLRS manufacturer)
- Raytheon (GWEO program partner)
- Thales (GWEO program partner)

### Key Quotes
> Building resilient supply chains and industrial capacity is critical to ensuring Australia and its allies can sustain capability when it matters. Key design principles for Zone 5 Technologies’ solutions are simplified supply chains and manufacturability at scale.
> — John Fry, Managing Director, Kongsberg Australia

> We’ve focused on deepening our war stocks, enhancing our lethality and reach – particularly long-range strike – and importantly, building domestic manufacturing capability.
> — Air Marshal Leon Phillips, former head of the GWEO Group

### Sources
- [Australia's Guided Weapons and Munitions effort makes progress, but risks remain - Breaking Defense](https://breakingdefense.com/2026/10/australias-guided-weapons-and-munitions-effort-makes-progress-but-risks-remain) - Breaking Defense