CANBERRA, 13 December 2023 – Lockheed Martin Australia’s commitment to enhancing Australia’s sovereign defence capability has been demonstrated through the release of a study capturing the organisation’s contributions to the Australian economy.

The Lockheed Martin Australia 2022 Economic Impact Report, produced by Deloitte Access Economics, highlights Lockheed Martin Australia’s impact on Australia’s economy including its pivotal role in supporting 3,422 jobs nationally.

Lockheed Martin Australia’s national presence includes delivery of advanced technologies and programs in all mainland States and Territories, supporting the growth of Australian industry capability in the regions through the creation of skilled jobs and supply chain opportunities.

Highlights from the report include:

Economic impact:

• In 2022, Lockheed Martin Australia made a total economic contribution of $583 million of added value to Australia’s Gross Domestic Product.

• There was a direct contribution of $252 million added through Lockheed Martin Australia’s activities and a further $331 million generated through Australian-based supply chains.

• In 2022, Australian small-medium enterprises (SMEs) represented approximately 75% of total suppliers and captured nearly $250 million in expenditure.

• Lockheed Martin Australia has a network of more than 1,200 Australian suppliers (more than 800 were used in 2022 alone) across the coutnry, ensuring current and future defence needs are met through soverign capabilities. 

Jobs impact:

• Of the 1,190 people directly employed (equivalent to 1,176 full-time jobs) by Lockheed Martin Australia in 2022, approximately 50% were in science, technology, engineering and mathematics (STEM) roles.

• The Lockheed Martin Australia workforce is highly skilled and productive, generating significant value added to the Australian economy, estimated at $214,000 per job in 2022.

• Lockheed Martin Australia’s support for Air Superiority programs generated the largest overall economic contribution of $199 million value added while supporting 1,361 jobs. As the F-35 Joint Strike Fighter original equipment manufacturer and sustainment prime, Lockheed Martin Australia works with its local industry partners to conduct training and sustainment activities for the Royal Australian Air Force’s fleet in Williamtown and Tindal.

• Sikorsky Australia, a Lockheed Martin company that provides sustainment services for the Royal Australian Navy’s fleet of MH-60R Seahawk helicopters, has funded and implemented an apprenticeship training program. Over the next 5 years, Sikorsky Australia will grow its skilled workforce in Nowra, predominantly comprising engineers and maintenance workers, from 200 to 300 personnel.

• To prepare the next generation workforce, Lockheed Martin Australia is working with local partners to increase the uptake of both STEM and defence careers. The organisation is the major funding partner of the National Youth Science Forum, which facilitates pathways into STEM for year 12 students.

Technology and innovation impact:

• Lockheed Martin Australia’s approach to innovation and research and development (R&D), including our investment in the STELaRLab and our genuine international integration and reach back, is making a significant impact on Australia’s economy.  The report found that this deliberate approach to innovation and R&D in Australia could see Lockheed Martin Australia’s investments in the defence innovation landscape result in:

  • the nation’s GDP being boosted by an additional $605 million by 2040, and

  • a net gain in employment of 73 full time equivalent (FTE) jobs on average per year from 2023 to 2030 and 140 FTE jobs on average per year from 2031 to 2040.

• Specialised and high value manufacturing, and professional services sectors comprise the largest share of Lockheed Martin Australia’s supply chain expenditure, contributing to a strong, highly skilled advanced manufacturing sector which is critical for Australia to remain at the technological frontier and ensure it has the sovereign capability to build and sustain defence capabilities.

  • Being part of the F-35 program has seen Melbourne-based Marand Precision Engineering make investments in its people and processes. Over the course of the relationship with Lockheed Martin, Marand has grown to service a wide array of industries, including aerospace, defence, rail, mining, and energy. It has also expanded its presence to the United States and become one of Australia’s largest defence industry exporters.

• Other successful partnerships with Australian industry include Ferra, Av-Comm, and Silentium Defence.

Lockheed Martin Australia Chief Executive Warren McDonald said, “Lockheed Martin Australia’s work with more than 1,200 suppliers – the significant majority of which are SMEs – highlights our dedication to building a self-sufficient defence industry. Partnering and collaborating with these suppliers enhances Australia’s sovereign capabilities while also increasing economic growth in Australia.

“We are proud of our long-standing relationship as a key delivery partner for the Australian Defence Force, and we look forward to continuing our work on the projects that will increase Australia’s national security.

“The findings of the report demonstrate the steps Lockheed Martin Australia is putting in place to promote STEM and defence work for the next generation.

“We are collaborating with local partners to promote STEM and defence careers and Lockheed Martin Australia is dedicated to advancing diversity within STEM and the defence industry.”

Looking ahead, Lockheed Martin Australia is working with industry partners to deliver major defence, industry and infrastructure initiatives that will further strengthen Australia’s sovereign defence capabilities and the economy, including:

• Project AIR 6500 Phase 1, which will provide the ADF with a Joint Air Battle Management System and form the ground-breaking architecture at the core of the ADF’s future Integrated Air and Missile Defence capability.

• Project JP9102, the Australian Defence Satellite Communications System that will provide the ADF with a sovereign military satellite communications (MILSATCOM) system defined by its sovereignty, extensibility, agility and resilience.

• The Australian Guided Weapons and Explosive Ordnance Enterprise, paving the way for Defence and industry to accelerate delivery of guided missiles for Australia.

• The Southern Positioning Augmentation Network (SouthPAN) system, which will provide enhanced positioning accuracy to industry and the broader community.

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About Lockheed Martin Australia

Headquartered in Canberra, Lockheed Martin Australia is a wholly-owned subsidiary of Lockheed Martin Corporation. The company employs more than 1,400 people in Australia working on a wide range of major programs spanning the aerospace, Defence and civil sectors.

Media Contact:

Jo Hon, Head of Communications Lockheed Martin Australia & New Zealand, +61 458 175 404