BENDIGO'S chances of building missile launchers have taken another step forward even as the government agrees to gut other defence projects.
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Australia will pull money out of some army programs to defend sea lanes and underwater communication cables running into Australia.
The revelations came on the day independent experts used a highly anticipated strategic defence review to "strongly support ... [the] rapid acquisition of the Precision Strike Missile in all its forms".
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That was good news for manufacturers in Bendigo trying to win a major contract to build missile launchers on the back of trucks, which proponents have argued would help a local workforce of hundreds of people.
Finn Street builder Thales has partnered with Kongsberg Defence Australia on a hybrid Bushmaster that can fire missiles 250km at naval targets.
The idea would be to station the so-called "Strikemaster" trucks on islands.
That could tie into a "strategy of denial" trumpeted in the newly released defence review.
The review's authors said Australia was grappling with defence build-ups in the region and intense competition between America and China.
They stressed that a stable relationship between Australia and China was in the best interests of both countries and the region but noted this country faces challenges from potential "adversaries" challenging the international rules based order.
Review authors thought an invasion of the Australian continent was a remote possibility but said adversaries could try coercion.
They might attempt cyber attacks, incursions into its north west shelf or parts of our exclusive economic zone, or disrupted sea lines of communication.
"By developing a resilient and capable ADF [Australian Defence Force] that can hold forces at risk in our northern maritime approaches, Australia could deter attacks on Australian forces or territory," the report authors said.
Companies campaigning for Strikemasters have not won any contracts but have been vying for one linked to a Defence program called LAND 4100 Phase B, which the government agreed on Monday had to be fast-tracked and expanded.
It has also agreed to speed up work on other missile projects and water-borne landing craft.
Report authors recommended "immediately" cancelling a project featuring self-propelled howitzers because they would not have the range or be as lethal as other equipment.
They also wanted an order for 450 infantry fighting vehicles cut to 129 to free up a battalion for manoeuvres on shorelines.
The government has agreed to both recommendations.
More to come.
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