The Hon Jacinta Allan - Premier of Victoria - Home

Supply Chain Support To Boost Local Defence Manufacturing

26 April 2023

The Andrews Labor Government is growing the state’s defence capabilities and expertise by providing support to supply chain businesses to help them win major contracts.

Minister for Manufacturing Sovereignty Ben Carroll today visited the site for Hanwha Defense Australia’s $170 million Armoured Vehicle Centre of Excellence under construction at the Avalon Airport Industrial Precinct.

Once completed, the site will produce the company’s self-propelled howitzers for the Commonwealth’s LAND 8116 program, creating more than 300 new highly skilled jobs in design, engineering and advanced manufacturing.

Hanwha is one of two final bidders for the Commonwealth’s LAND 400 Phase 3 program. If successful, its Avalon site will also produce the company’s infantry fighting vehicles, dubbed the ‘Redback’.

During the visit, Mr Carroll also announced the first round of grant recipients under the Victorian Land Systems Fund - Supply Chain Uplift Program. The program aims to support local companies to become part of Hanwha’s supply chain by helping them meet specific technological, business system and accreditation requirements.

A total of almost $200,000 will be awarded to five companies that specialise in land systems defence, including Campbellfield based APV Corporation, which will develop a specialised military seatbelt, and Waurn Ponds’ Hannagan Solutions, which will develop custom textiles to protect and camouflage military vehicles and soldiers.

Other companies benefiting from the grants include Australian Precision Technologies and Redline Engineering with both set to strengthen their cyber security systems, while Diamond Defence will introduce a new quality management system to achieve a required industry certification.

The Labor Government supported Hanwha to establish its defence manufacturing operations in the state. Victoria’s defence sector is made up of around 6,300 businesses, supports around 24,300 jobs across the sector and contributes $8.4 billion to the state’s economy each year.

To learn more and apply for the Supply Chain Uplift Program grants visit

Quote attributable to Minister for Manufacturing Sovereignty Ben Carroll

“We want to see more Victorian-made products used by global defence firms like Hanwha, which is why we’re helping small and medium businesses to compete for and win major contracts.”

Quote attributable to Member for Lara Ella George

It’s great to see the progress of the Hanwha site, which will produce self-propelled howitzers for the Australian Army, bring hundreds of jobs to the region and create many more opportunities for Victorian businesses.”

Quote attributable to Hanwha Defense Australia Managing Director Richard Cho

“We are pleased to be working closely with the Victorian Government who have supported not just us but a range of companies in our supply chain.”

Reviewed 26 April 2023

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