Press Conference, Bendigo

SUBJECTS: Investment in Bushmasters and Bendigo; AUKUS; ISIS Foreign Fighters’ Wives; Foreign Minister’s Asia visit; Liberal Party preferences

LISA CHESTERS, FEDERAL MEMBER FOR BENDIGO: Good morning and welcome to Bendigo. For those who are visiting, I am Lisa Chesters, the Federal Member for Bendigo, and I have the great pleasure of opening today's proceedings. Can I begin by acknowledging the traditional owners on the land on which we meet the home of the Dja people, and pay my respects to elders by past, present and emerging and extend that welcome to any First Nations people who are joining us today. So being the first speaker, I've got the privilege of introducing and acknowledging some of the key people that are joining us today. First and foremost, my good friend, the Deputy Prime Minister, Minister for Defence, the Honourable Richard Marles. My good friend and ally in this journey that we've had here, the Minister for Defence Industry, the Honourable Pat Conroy. From the Victorian government, local federal- sorry, local state MP- we are on her turf today- and the Premier of Victoria, the Honourable Jacinta Allan. The Minister for Defence in the Victorian Government, the Honourable Colin Brooks. And my good friend, and Speaker of the Victorian Parliament, the Member for Bendigo West, Maree Edwards. Can I acknowledge our Defence and Thales representatives that are here today, Mr. Jeff Connolly, the CEO of Thales Australia, Major General Jason Blain, Major General Richard Vaggs. And all our other Thales and defence members that are here joining us today.Can I finally acknowledge our workforce representatives, representatives from the AMWU, the ETU and site managers that are here, without them we would not have a Bendigo Thales site- they have been manufacturing not just Bushmasters, but equipment for the Australian Defence Force for many generations, and that's what makes me so proud to stand here today, to be able to say with my colleagues that we're securing work at this site for the next seven years. It is an exciting day for Bendigo, an exciting day for this site. A $750 million investment here to produce the Bushmasters, to produce the vehicles that our Australian Defence personnel and the Australian Army need, but more importantly, to secure the jobs of the people that work here and to give new job opportunities to the next generation of tradespeople coming through here. It's an exciting day for Bendigo, an exciting day for the men and women that work here, an exciting day for their families to know for the first time in decades, they will have the job security, it will no longer be the boom and bust. Secure a contract, deliver of the contract, and wait for the next. We are doing what the previous Liberal National government failed to do, and that's securing the work here at the site and delivering a vehicle, a modern vehicle, for our armed services. I'll now hand over to my good friend, the Honourable Pat Conroy to speak in more detail about today's announcement. Thank you.

PAT CONROY, MINISTER FOR DEFENCE INDUSTRY: Thank you, Lisa. And I want to begin by paying tribute to Lisa Chesters. There is no stronger advocate in federal politics for Bendigo and the region and the workers and industry that put food on the table than Lisa Chesters. And today's announcement is a tribute to her unstinting advocacy for her region that she loves and fights for every day. It's no mistake that my first visit when I was appointed Defence Industry Minister in 2022 was to Thales Bendigo, because Thales Bendigo is the crown jewels of the Australian defence industry. We have 100,000 people working in the Australian defence industry who get up every day to make this country safer by supporting the efforts of the Australian Defence Force. And that's why I chose to make my first visit to Thales Bendigo as Minister. And that's why I'm returning with the Deputy Prime Minister Lisa, the Victorian Premier, the Victorian Defence Industry Minister, and Maree, to announce that we're locking in the future of Thales Bendigo for the next seven years. This announcement of a combined order of almost 300 vehicles. When you combine our order and the Dutch order, we're ordering almost 300 vehicles that locks in the future of 300 workers, direct employees for the next seven years. That is the single biggest order for Thales Bendigo since 1999. The single biggest order in 27 years, locking in 300 direct jobs and thousands through the supply chain making the best protected mobility vehicle in the world, bar none. And we should be so proud of the ingenuity and the hard work of Australian workers throughout the country, but in Bendigo in particular. This money will flow through and provide certainty for the workers here. It will allow Thales to bring on their biggest number of apprentices in three decades, but it'll also flow through to the supply chain from the steel made in New South Wales- and I know I'm in Victoria, but this is an Australian announcement- Aussie made steel in Illawarra going to Broadmeadows to be shaped into that beautiful V shape- that is one of the key drivers of why no one has lost their lives in explosions while they've been in a Bushmaster- to then manufacture here in Bendigo, this is the Australian defence industry at its best, protecting Australian troops lives and putting food on the table for their family for another seven years. So I want to pay tribute like Lisa did, to the workers who do this job every day, to the unions and the company that work so cooperatively together to drive such a great outcome for not just the region, but for the nation as well. And this is one part of our even bigger investment in Australian Defence. And on that note, I'll hand over to the Deputy Prime Minister Richard Marles, who has been instrumental in driving this entire process.

RICHARD MARLES, DEPUTY PRIME MINISTER:  Well, thanks, Pat. And Firstly, I'd like to just acknowledge all the work that Pat has done in getting to the point of today's announcement. It really is a testament to his skill, but passion and dedication to Australia's defence industry, that we're in the position of being able to make the announcement that we are today, and it's a real honour and privilege for me to work with Pat in our defence team. Can I also acknowledge Lisa Chesters the member for Bendigo, who has been a fierce advocate for this site, as she is, of course, for all things Bendigo and acknowledge the Premier on her local patch. The Premier is here as the Premier, but I know it's like to be here as the local member, not here but but to present as the local member and she is obviously a very keen advocate for this facility, along with Maree and it’s great to have Colin here, as well as the newly minted state minister for defence industry. This is a really wonderful day. I mean, first and foremost today, we're announcing a $1.2 billion investment in the Australian Army, and specifically in our protected mobility capability. This is $750 million that we are investing here in Bendigo for the building of an additional 268 Bushmasters for the Australian Army. We're also announcing today further investments in the upgrading of the Hawkeis in Brisbane and the upgrading of the protected trucks that are produced by Rheinmetall in Brisbane as well. And together, what this means is that we are fulfilling the statement and ambition of the National Defence Strategy - to create a more amphibious army, but to create a more agile and Mobile Army. And that's what this $1.2 billion investment in these capabilities will do. And as Pat said, the Bushmaster is the very best protected mobile vehicle for armies anywhere in the world, it saves lives. Air Chief Marshal Angus Houston was a passionate advocate for the difference these vehicles made in saving Australian lives in combat, and now around the world, people are experiencing how important these vehicles can be in saving lives. This is a real example of the power of sovereign capability for our defence force, but also the power of Australia's defence industry. Because not only does it contribute to our sovereign capability, in exporting Bushmasters around the world, be it Indonesia or Ukraine or now the Netherlands. This is taking Australian capability to the world, and it absolutely increases our diplomatic space as we work with countries around the world and they see Australian expertise. I really want to congratulate Thales on all that it has done in this facility. It is an exemplar of an international prime operating from Australia. And Bushmaster is now a very much an Australian brand. And I also want to acknowledge the workforce here who do an incredible job. In what we are now doing, in giving a commitment to this site for the next seven years, securing 300 jobs. First and foremost, that is a vote of confidence in the skills of the workforce here who do such a tremendous job. And I really want to thank all of them for what they do on behalf of our nation. Today is a really great day. It's a great day in terms of Australian defence industry. It's a great day in terms of army capability, and it's a real pleasure to be here in Bendigo this morning.

JACINTA ALLAN, PREMIER OF VICTORIA: Thank you, Deputy Prime Minister, and with our federal and state parliamentary colleagues, and importantly to the workforce and the representatives of Thales Bendigo here, it is a big and important day in the history of Bendigo and Victoria's strong and proud history of playing a big role in the Australian defence industry. And that's why both as local member, as the member for Bendigo east, and also too, as Premier of Victoria, I want to thank and welcome this announcement by the federal government today, because it means a couple of really important things, both for Bendigo, for Victoria, and indeed, too, for our nation. It means that in these uncertain times, working people and families can look to Labor governments to make the investments that back working people and families and the jobs that are just so important to support them in these challenging times. It also too, it's an investment in the industry, the manufacturing industry here in Victoria and around Australia, and increasingly, too, in these uncertain times, having that investment in our sovereign capability continues to have a growing importance. And then finally, the other reason why today is such a big and important announcement is it sends a really clear message to the strong men and women who put on the uniform, who travel far from home to protect our freedoms, to protect our democracy, to protect our way of life, and what we have as a responsibility as a society and as governments and as community leaders is to back the work that they do by making sure that they have the best equipment, the best protective equipment, to support them in their role. And that brings us to today's announcement of the Bushmaster, as we've heard, it's it's incredible design, engineering and technology means that not one life has been lost by personnel who have been deployed in the Bushmasters. That's an incredible record, and that's a record that's built by the skills and the talents and the abilities of workers here in Bendigo, and I remember nearly three decades ago when the design was first coming to its fore, when the capability was being understood. And over that time, it's been the work of particularly federal members like Lisa Chesters, who have made sure that this was front and centre in the consideration of defence procurement decisions, and that's why today is important for us as local members of parliament representing this great community. I think, for those of you who've not been here before, you can feel the history in this site. This factory has been a big part of Bendigo's workforce and Bendigo's manufacturing history for decades and decades, and it's had its ups and downs. It really has had its ups and ups and downs. Today sends a very strong signal about what the future looks like, what the future looks like because of the investments that's been made by the Albanese Labor government, yes, in the Bushmaster that in families and workers here in Bendigo, that seven year pipeline is just so important, not just also too for the workers and their families here in Bendigo, who will have the security of those pay packets going home each week. It's also great for local businesses in Bendigo, small businesses, medium sized businesses, both who are part of the supply chain, but also too, it means there's more activity in the local Bendigo economy. So this is a significant day for Bendigo, for workers and the future of this great city. But if I can also just make a comment, a brief comment, before I finish and hand back to the federal ministers, this is also an important day for Victoria's defence industry capability. It sends a very strong message about how we as a state are a strong defence industry manufacturing state. It's why I've appointed Minister Brooks as a dedicated Defence Industry Minister, because as we increasingly look to grow our sovereign capability, Victoria again as a state has a strong manufacturing history, and I'm sending a very clear message that we see as a state our role in the future of defence capability, the future of defence industry and manufacturing. Because whether it's places like here in Bendigo, in Benalla, in factories around Melbourne, we are have the off the back of the skills and the workers and the dedication. And they bring to the job we have amongst the world's best workers and productions here in Victoria. We're going to keep it that way through the work of Minister Brooks, working with industry, working with companies like Thales, and also to understanding the role that we have as a state is to support a pipeline of workers, whether it's through TAFEs partnering with universities, continuing to make sure that we're supplying that great skilled workforce, whether it's here in Bendigo or across the state, to continue to support our strong defence industry here in Victoria. I'll now hand back to Richard and Pat, thank you.

MARLES:   Questions?

JOURNALIST: US Congress recently been handed with the delays in US submarine shipbuilding with production rates down to 1.1 per year, could this set back Australia's delivery of the Virginia class submarine?

MARLES: Look, we're really confident with the progress of construction and sustainment within the US industrial base of their Virginia class submarines. This is a question which is periodically asked, but the production rate which we are working to which needs to be in place in the early 2030s in order to have the space for the Virginia is to be provided to Australia. We're confident will be met, met and exceeded. And what we are contributing to that in terms of financially, but also actually with people in Pearl Harbor, for example, in ensuring that we are getting more submarines out to sea for the US Navy is a really important role, but we're very confident that these construction timetables will be met and sustainment timetables will be met such that the Virginians can be transferred to Australia in the early 2030s.

JOURNALIST:  Can I ask about the Bushmasters, is it these ones that are being made – the ones behind you?

CONROY: This is 1400 off the production line, but one of the great features of today's announcement is giving seven years of certainty means that Thales can invest in even more operate. So you'll see a next generation Bushmaster hitting the production line as part of this contract, which will really give the ADF the best capability in the world. Today's order, when combined with previous orders, means we've ordered since coming to power in 2022, 450 Bushmasters out of a fleet that, at the moment, is 1400 so this production line for this contract hasn't started yet. We're still producing ones from the earlier contracts I've come to Bendigo to announce, but we're looking at a pace of about 50 a year.

JOURNALIST: Are these all ours – or might you send some over-

CONROY: Well, part of today's announcement is acknowledging another export success story for Thales, which is providing a number of them to the Netherlands. We're ordering 268, for the Australian Army. There's then a number for the Dutch that we don't disclose the exact number, but it brings the total order to around 300.

JOURNALIST: What does the next generation have the other doesn’t?

CONROY: It's got more power. What you're seeing with modern warfare is everything needs more power, more computing. So the next generation will have more power. It will also have modifications at the back, which means you can swap in and out modules more effectively. Thales will can provide more details later on, but there two of the key modifications, is greater power, because one thing we'll be fitting onto these is remote weapon stations to deal with drones, including directed energy weapons, lasers, for want of a better word. And I made an announcement last week of a more than $7 billion announcement in counter drone capability at another Victorian company, SYPAQ that does conventional drones, and then AIM does lasers. So the goal is to mount lasers on these vehicles to destroy drones. And obviously you need plenty of juice to do that.

JOURNALIST: Are you confident there's enough global demand for Bushmasters to keep production going here in Bendigo, to then you go beyond 2030?

CONROY: I am this is an Aussie success story. I think they've been exported to just under 10 countries. I took Prime Minister Rabuka of Fiji on a test driver of one of these vehicles. He will be acquiring some of these to use for Fiji and peacekeepers in the Middle East. Today's announcement obviously includes exports. We've exported them to Indonesia as well. I've seen New Zealand variants as well. This is the best protected mobility vehicle in the world, bar none. And I'm confident. And it's one of the five base campaigns that we established when we formed the Australian Defence strategic sales office, where we use government and industry to sell Aussie products overseas.

JOURNALIST: Without the order today, would have production finished here in the next couple months?

CONROY: Not the next couple of months, but the next year or two. So this not only looks in the future, it saves Thales Bendigo and locks in the future for seven years.

JOURNALIST: Does it help Jacinta keep her seat?

CONROY:  It helps the Australian Defence Force get the best possible equipment it needs to defend Australia, and it helps the Australian Army protect Australians. Importantly, the ability to manufacture protected mobility vehicles is what's called a sovereign defence industrial priority, an S-tip. That means it's something that we must do in this country, have sovereignty and self reliance. So that's our commitment. We need Australian industry to make Australian capability to have the sovereignty and self reliance to defend Australia. That's why we're investing in those 100,000 jobs in Australia.

JOURNALIST: Deputy Prime Minister, do you have the latest on the possible return of ISIS brides to families in Australia.

MARLES: Look all I would say on this issue is that the Australian Government is not repatriating these people, we've made this really clear. We're not providing any support at all, and that's where the matter stands.

JOURNALIST: Are you preparing for their return?

MARLES: Well, I wouldn't go into the specifics of any individuals, other than to say that our intelligence agencies and our security agencies are always alert to anyone who might come into the country, and we have utter faith in respect of what they do. And of course, they monitor the movements of people where that is appropriate.

JOURNALIST: And is any work being done to try to exclude them from returning.

MARLES: Well again, nothing is being done to repatriate these people. That is the fundamental point here. There have been legal avenues that the government has been able to take in respect of exclusion orders. That's what we have done, and we've pursued that in accordance with the law.

JOURNALIST: I appreciate there is no help with repatriation, but if they're able to make their way back to Australia on their own terms, if someone else finances and helps with that, is there anything that the government is exploring to prevent that return?

MARLES: Well, as I've said, we have where we can, we have put exclusion orders in place. I mean, there's a legal regime which sits around that. And we very much work with our intelligence agencies and our security agencies who are amongst the best in the world, and they are making sure that, in respect of anyone who is coming to these shores, Australians are is kept safe.

JOURNALIST: Barnaby Joyce says there shouldn't be temporary exclusion orders placed on these four. Is it that simple? Is that possible?

MARLES: Well, again, I'm not to go into the specifics in relation to individuals, as it's not appropriate to do that. We are we have explored and indeed put in place exclusion orders in relation to people, where we have been able to do that.

JOURNALIST: Are security measures being explored?

MARLES: Well, I just answered that question. I mean-

JOURNALIST: That's what more about the return or not, but assuming they do return, what security measures are being explored?

MARLES: Well, we have our security agencies without going to the specific circumstances, which it’s appropriate to go into specific cases, but our security agencies monitor the movement of people coming to this country or where there is a potential for that, and they do so from the perspective of ensuring that all measures are in place to keep Australians safe, and we have utter faith and confidence in our security agencies doing that.

JOURNALIST: Deputy Prime Minister, you mentioned before the amphibious focus of the Australian Army. So how does the Bushmaster fit into that?

MARLES: Well, really, it is an amphibious focus that we have for the Australian Army. I guess the point that I was really making in relation to the Bushmaster is that along with being amphibious, we are seeking for our army to be more mobile and agile. And it's really that, that's the point that I was making in relation to this. But not just the Bushmaster, both the Rheinmetall trucks and the Hawkeis, which are manufactured here, but which are being upgraded in Brisbane, all of that provides for a more mobile and agile army, and doing that is at the heart of what we are seeking to achieve with our army through the National Defence Strategy.

JOURNALIST: Thales and Kongsberg have their onus and preference for the StrikeMaster – how is that process progressing, and is there announcement coming soon on whether they're successful?

MARLES: Well, look, we're working through all those processes. Very much, of course, the focus today, though, is on the additional investment in the manufacture of Bushmasters here.

JOURNALIST: Quick one on jet fuel. Penny Wong off to three countries in Asia to try to shore up that supply. Should we be worried? Should we be worried about losing supply, being cut off?

MARLES: What it means is we're on the job, and we've been so from the moment that this conflict really has commenced. Now, clearly the Strait of Hormuz is disrupting global fuel supply chains. There's no secret about that. And from the moment that became the case, we have been very active in scouring the world for additional sources of supply for fuel into Australia. That's why you've seen the Prime Minister visit Singapore, Brunei, Malaysia. It's why you're seeing the foreign minister now going to China, Japan, Korea, and we'll continue to do that work. We have been able to secure significant supply to Australia, which has been really important. But we're also mindful of a range of possibilities going forward. It's why we put in place the national fuel security plan that we have to contemplate the range of scenarios which may occur as we move forward. Obviously, we want to see the Strait of Hormuz open as soon as possible, but that's not within our power. So we will be vigilant in the way in which we go about this, and that very much involves being out there on the job securing as much fuel for our country as we can.

JOURNALIST: I wonder if I might be able to tempt you into a view on the Liberal Party putting One Nation ahead of Labor in a by election in the state of Victoria, or in the state election to come later this year?

MARLES: Well, look, state pollies want to comment, but I mean, it is a matter for the Liberal Party as to what they do in respect of their preferences. And I think Australians will judge them on the basis of how of how they order their preferences.

END