13 June 2025

Australia expands cooperative development agreement for long-range precision strike missile

| Andrew McLaughlin
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ATACMS launch

The PrSM will replace the ATACMS missile in US and Australian Army service. Photo: ADF.

Australia has signed a new cooperative development agreement with the US for Lockheed Martin’s long-range precision strike missile (PrSM).

The agreement is an extension of one already in place for Australia to have technical and capability input into the development of the new missile, which is designed to be fired from the HIMARS (high mobility artillery rocket system) long-range artillery system being introduced by the Australian Army.

The ‘Increment 1’ version of PrSM has recently been fielded by the US Army as a replacement for the ATACMS missile, while there are three additional increments under development that will add additional range and an ability to strike moving maritime targets.

Increment 2 is also known as the land based anti-ship missile (LBASM) and features a multi-mode seeker and longer range optimised for the maritime strike mission, and it is this capability which is of interest to Australia. It is expected Increment 2 will enter service from 2028.

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Increments 3 and 4 will focus on upgrades to Increments 1 and 2, and will offer a wider range of warheads possibly capable of breaching armoured or buried targets, and additional boosts to the PrSM’s range out to 1000 km.

The latest memorandum of understanding (MoU) provides access for the ADF to acquire PrSM rounds and establishes it as a cooperative program between Australia and the US. This in turn raises the potential for Australia’s defence industry to participate in the PrSM’s supply chain with locally manufactured components.

Defence says the MoU also provides options for future manufacturing and maintenance of PrSM in Australia under the government’s Sovereign Guided Weapons and Explosive Ordnance (GWEO) initiative, with negotiations of this aspect expected to commence later this year.

The MoU was signed by Defence Minister Richard Marles and US Secretary of Defense Pete Hegseth on the sidelines of last month’s Shangri‑La Dialogue in Singapore after it was initially discussed at the 2024 Australia United States Ministerial Consultations (AUSMIN).

HIMARS

The PrSM will be fired from the HIMARS long-range artillery system entering service with the Australian Army. Photo: ADF.

Mr Marles said Australia’s capability and technology cooperation with the US was a critical part of the alliance.

“The government’s investment in the precision strike missile will expand and accelerate land-based long-range strike capabilities,” he said.

“This will enable deterrence against potential threats and ensure the Australian Defence Force is equipped to meet our strategic circumstances and keep Australians safe.”

Minister for Defence Industry Pat Conroy added, “This demonstrates our commitment to deliver on priorities outlined in the 2024 National Defence Strategy, to accelerate acquisition of long-range land and maritime strike capabilities and adopt a ‘Strategy of Denial’.

“Through this cooperative program, the Australian Army will contribute to and acquire the latest technology required to counter current and future threats.

“This is another example of the government working with the US to increase opportunities for Australian industry in global supply chains.”

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