Manufacturing expands as Thales secures $750M for next-gen Bushmaster production

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Thales Australia’s Bushmaster. Image credit: Thales

Manufacturing of Australia’s Bushmaster protected vehicles is set to expand following a AU$750 million government commitment to deliver 268 next-generation units, according to Thales Australia.

In a media release, Thales Australia said the investment would support production at its Bendigo, Victoria facility, strengthening local manufacturing capability while advancing the evolution of the Bushmaster Protected Mobility Vehicle (PMV) into a more agile and adaptable platform for modern defence needs.

The company said the funding would “expand the production of the Bushmaster, support jobs, boost sovereign capacity and enhance Australian manufacturing capabilities,” adding that it would also position the manufacturer to meet potential international demand.

Thales Australia stated it would “work hand in glove with the Australian Government” to deliver the additional vehicles, with production of the next-generation Bushmaster scheduled to begin in 2027.

According to the company, the investment is expected to support more than 290 jobs and provide continuity for its Bendigo workforce, reinforcing the long-term outlook for regional advanced manufacturing.

Thales said the upgraded vehicles would feature enhanced protection and mobility, advanced digital systems and greater adaptability. 

These include increased personnel and towing capacity, additional armour, the ability to integrate more powerful weapons systems, and a modular crew cabin designed for flexible configurations. 

The vehicles are also being designed with export considerations, including left-hand drive capability and updated communications interfaces.

The company noted that more than 1,300 Bushmasters have already been manufactured at its Bendigo facility, with exports to eight countries including the United Kingdom, New Zealand, the Netherlands and Japan.

Hervé Dammann, Executive Vice-President for Land and Air Systems at Thales, said the contract reflected confidence in the platform and collaboration between government and industry.

“Thales is honoured by the trust placed by the Australian government on our world-class multirole vehicle, Bushmaster,” Dammann said. “This major contract for the delivery of hundreds of combat-proven vehicles demonstrates how government and industry can work together to deliver what this country needs.”

Thales Australia said the investment would also strengthen Australia’s industrial capacity to design, build and sustain defence assets, while supporting a robust domestic supply chain.