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BAE Systems selects Victorian companies for LAND 400 bid

A BAE Systems Australia Patria AMV35 drives through the Armoured Fighting Vehicle Field Firing Training Area at Puckapunyal Range, Victoria, while participating in the Land 400 Risk Mitigation Activity on 22 February 2017.BAE Systems Australia has announced agreements with Victorian SMEs worth more than $200 million as part of its bid for LAND 400 Phase 2.

If the company is successful in its bid for the Combat Reconnaissance Vehicle contract with the AMV35, these agreements for the build phase of the project would create more than 100 supply chain jobs in Victoria, BAE Systems stated.

Selected companies include AME Systems, APV, DVR Engineering, Milspec Manufacturing, Moog Australia, MoTeC and RUAG Australia.

Marand, which was announced as having entered a teaming agreement with BAE Systems Australia in February, would manufacture 199 hulls for the AMV35, while other suppliers would bring specialist manufacturing expertise in areas such as heavy fabrication, electronic systems and complex assemblies.

Although this announcement represents a significant commitment to industry in Victoria, BAE Systems made clear that it has not yet made a decision regarding the location of a vehicle manufacturing facility.

“We have proposed offers from South Australia, New South Wales, Queensland and Victoria,” said Brian Gathright, vice-president of strategic campaigns, LAND 400, at BAE Systems Australia, speaking to Australian Defence Business Review at Marand’s head office in Melbourne.

“We continue to engage the states to gain greater clarity on their offers, to discuss particular elements of those offers, which will then lead to us making a final evaluative position.”

Further announcements about partnerships with SMEs elsewhere are to be made soon as BAE Systems finalises its LAND 400 submission to the Commonwealth, which is due on August 11.

LAND 400 rival Rheinmetall Defence Australia announced in February that it has shortlisted Queensland and Victoria as potential locations for its Military Vehicle Centre of Excellence.