• Exactly how Australian industry will benefit from the British Wedgetail buy is far from clear.
Defence
    Exactly how Australian industry will benefit from the British Wedgetail buy is far from clear. Defence
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The recent announcement that the UK’s Ministry of Defence (MoD) was in discussion with Boeing regarding the sole-source acquisition of the Wedgetail Airborne Early Warning and Control (AEW&C) aircraft, made by Britain’s Defence Secretary Gavin Williamson, was welcomed here in Australia.

ADM understands that the UK is seeking to acquire five Wedgetail aircraft to replace the RAF’s ageing Boeing Sentry AEW.1 Airborne Warning and Control System (AWACS) capability.

On October 3, a joint media release from Defence Minister Christopher Pyne and Minister for Defence Industry Steven Ciobo, titled “Australia poised to win from UK Wedgetail procurement,” said that if the deal went ahead it would “further deepen” Australia’s relationship with the UK and was an endorsement of “a crucial part of Australia’s air combat capability.”

The Ministers described Wedgetail as being widely recognised as the most advanced aircraft of its type in the western world and one which has achieved a mission success rate of 98 per cent during the four years it has been deployed to the Middle East.

In their joint release, Ministers Pyne and Ciobo also said that Australia’s experience in operating the Wedgetail presented “a significant opportunity” to work closely with the UK through co-operative development and industry collaboration.

“Australian industry, including the more than 200 Australian companies that have contributed to our own Wedgetail acquisition and sustainment, stands to benefit from what could become one of Australia’s most significant defence exports,” Minister Ciobo said.

“A UK procurement will add to the global fleet of Wedgetails, already including Australia, Turkey and South Korea, which can be supported and sustained by Australian industry and create hundreds of Australian jobs.”

With words like, “one of Australia’s most significant defence exports” and “hundreds of Australian jobs”, it’s no wonder the potential deal will be welcomed here. But exactly how Australian industry will benefit, and by how much, is far from clear.

“The announcement by the UK presents a significant opportunity for Australian industry and for co-operation between our nations’ supply chains,” a Defence spokesperson said in response to ADM’s questions regarding the basis for such promises and how the claims could be substantiated.

The spokesperson then provided the same paragraphs included in the Ministers’ release (and quoted above) to back this statement up.

Defence did note that, according to Boeing Defence Australia’s estimates, more than 600 Australian jobs have already been created to support Wedgetail projects.

“Defence expects Australian industry to be particularly well placed to contribute to mission systems development and ground segments including training, systems engineering and product support,” the spokesperson added. “It is too soon to predict the dollar value of any work that could come to Australia.”

So, the question remains: Will a UK Wedgetail buy benefit Australian industry?

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