Protecting Australia And Boosting Regional Jobs

02 February 2018

The Andrews Labor Government is partnering with BAE Systems in a bid to secure a multibillion-dollar land military vehicle project and create defence manufacturing and supply chain jobs in regional Victoria.

Minister for Trade and Investment Philip Dalidakis today visited the Wodonga facility of Parker Hannifin Australia with Member for Indi Cathy McGowan.

The company will supply hydraulics and cooling system components for the Combat Reconnaissance Vehicles and expand its local workforce should BAE Systems win the LAND 400 Phase 2 contract.

Established in 1963, the company manufactures PVC hose, metal fittings, hydraulic cylinders, tube and hose assemblies. The company has a proven defence capability and is already delivering the cooling system for 1,100 Hawkei Protected Mobility Vehicles that will be built by Thales in Bendigo.

As an advanced manufacturer, the company is also well placed to capitalise on the Federal Government’s recently announced Defence Export Strategy and the resulting initiatives.

Victoria is Australia’s home of manufacturing and has an outstanding track record in the design, development and manufacture of military vehicles for Australian and international customers.

The state’s research and development expertise, depth of engineering talent, highly-skilled workforce and supply chain makes Victoria the natural home of vehicle manufacturing.

Despite being the obvious choice for the LAND 400 contract, the Labor Government is concerned that Victoria will be overlooked by the Federal Government in favour of Queensland in order to shore up Coalition seats.

These concerns were justified when dumped federal infrastructure minister Darren Chester recently criticised Malcolm Turnbull for pork barrelling, rather than distributing funds where they are most needed.

The $5 billion LAND 400 Phase 2 project – which includes the design, build and sustainment of 225 Combat Reconnaissance Vehicles – is expected to create up to 2,000 manufacturing and supply chain jobs in Victoria.

Victoria’s defence sector is worth $8 billion to the local economy every year, and is made up of about 20,000 people and more than 400 businesses.

Quotes attributable to Minister for Trade and Investment Philip Dalidakis

“Victoria is the smart choice for LAND 400. We have the necessary skills, capabilities, experience and infrastructure to deliver high quality military vehicles.”

“We’re working hard to secure this multibillion-dollar contract, which will create jobs and support regional defence manufacturers such as Parker Hannifin in Wodonga.”

“This contract needs to be awarded with our defence sector’s best interests in mind rather than the Coalition’s political interests.”

Reviewed 19 August 2020

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