Victoria seeks AUKUS and other defence supply chain deals
14th November 2025
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The Victorian Government signed two landmark agreements at the recent Indo Pacific 2025 International Maritime Exposition to boost Victoria’s role in the AUKUS program and grow the state’s defence industry workforce.
The Government has formalised separate memorandums of understanding with H&B Defence and Rolls-Royce, two of the world’s most influential defence companies, to enhance Victoria’s industrial capabilities, supply chain participation and training in support of AUKUS.
H&B Defence is a joint venture between Huntington Ingalls Industries — the United States’ largest military shipbuilder — and UK engineering group Babcock International. The company was formed to support the AUKUS nuclear-powered submarine program.
Under the new agreement, H&B Defence will work with the Victorian Government to help local businesses access global markets and attract new defence investments. It will also collaborate with education and training providers to develop pilot programs focused on defence skills, and to lift local supply chain capability to meet US and UK shipbuilding standards.
A separate agreement with Rolls-Royce will strengthen Victoria’s contribution to AUKUS Pillars 1 and 2 — nuclear propulsion and advanced capabilities — through skills development, innovation and new opportunities for Victorian suppliers.
Rolls-Royce, which has powered the UK’s nuclear submarine fleet for more than 65 years, will bring its global expertise to Australia as it expands its Derby site to support both UK and Australian programs. Its submarines division will supply the nuclear energy infrastructure for the AUKUS fleet.
Industry and Advanced Manufacturing Minister Colin Brooks said the twin agreements demonstrate confidence in Victoria’s skilled workforce and advanced manufacturing strengths.
“These partnerships with two of the world’s largest defence companies will drive investment, create high-value jobs and position Victoria at the forefront of Australia’s AUKUS contribution,” he said.
Victoria’s defence sector contributes around $10.9 billion a year to the state economy and supports more than 29,000 jobs.
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