GWEO

My question is to the Minister representing the Minister for Defence, Senator Wong. Minister, the 2023 Defence Strategic Review, the National Defence Strategy and the Defence Industry Development Strategy all were at pains to point out that Australia needs the capability to build and maintain long-range strike here in Australia. Can the minister disclose which companies have been contracted to our organisation that's doing that: GWEO?

Senator WONG: If I might, on indulgence, just say to our friends from Malaysia: Selamat datang. It's great to have you here, and we thank you for your friendship.

In relation to the guided weapons and explosive ordnance program, or GWEO, as it is known, as you know, Senator, the government is very focused on making decisions to keep Australians safe and to create a future made in Australia. An aspect of that is the delivery of a sovereign guided weapons enterprise, and we've backed this up through our actions. We will start manufacturing missiles in Australia next year. We've committed up to $21 billion over the next decade. There has been the acquisition of long-range strike weapons and recently my colleague Senator Conroy announced that the government would invest some $850 million to manufacture long-range missiles in Australia, in partnership with Kongsberg Defence Australia. The factory in Newcastle will be able to manufacture both the joint-strike and naval-strike missiles, and it will be the first factory outside of Norway to make these missiles—

The PRESIDENT: Minister Wong, please resume your seat. Senator Van.

Senator Van: On a point of order on relevance: I was asking for the key companies that have been contracted to provide weapons to GWEO.

The PRESIDENT: Yes, and I accept that that was the question at the end, but you also went to the strategic review and the need for particular weaponry and so on, so the minister is being relevant to the question, but I'll continue to listen. Thank you, Senator Van.

Senator WONG: I'm sorry, Senator. I thought this was directly relevant. I'm happy to try and get further information from DPMO, if that assists. Minister Conroy has also announced $142 million to acquire a joint-strike missile. As you know, the GWEO enterprise under the previous government only really produced two things, and they were two media releases, but I'm happy to provide further information. I thought that this was directly relevant to the question you were asking.

Senator VAN: Thank you, Minister, and it's a shame that more hasn't been done. I think it's safe to say—and it's covered in many media outlets, but I can table something if required—that one of the companies that GWEO have contracted as a prime is called Raytheon Australia.

Senator Shoebridge interjecting—

Senator VAN: I thought you might, Senator Shoebridge. Raytheon Australia is a subsidiary of RTX, as it's now known—a US company that was fined $200 million for leaking secrets to Russia, Iran and China. Is the government aware of this— (Time expired)

Senator WONG: I have seen public reporting of the settlement to which you refer. I would make the point that this is a settlement between the US government and RTX. This is a matter for the US government, and we're not in a position to comment on the details of that settlement. I can say that the advice I have is that Defence works across government and cooperates with partners, including the United States, to regulate the export and supply of goods and technology controlled on the defence and strategic goods list. Defence has referred the matter to the Australian Border Force for investigation. Obviously I'm not in a position to comment in any detail on that matter. I can say that Australia has a stringent export control framework which is designed to prevent the irresponsible or illicit trade of military and dual-use items.

Senator VAN: Minister, given that one of the key primes involved with GWEO has had a huge settlement against it for leaking of security breaches, would you agree that the best way to protect our future guided weapons sovereignty is to work with and enable Australian companies to manufacture these weapons here in Australia?

Senator WONG: Well, I'm asked for an opinion, and I probably won't proffer that, but I can make an observation, which I think I've made before in estimates. Obviously when you're looking at defence capability a number of matters need to be considered: the capability, the value for money for taxpayers and also assuring a sovereign capability for Australia in those areas where that is necessary for our national security. That is the approach the government seeks to take.