VEEM, an Australian company specializing in propulsion systems, has received two orders for the supply of specialized components for Virginia-class multipurpose nuclear submarines designed for the US Navy. According to Naval News, the total value of the contracts is 800 thousand Australian dollars (about 547 thousand US dollars).
VEEM became one of the first Australian companies to move from qualification to direct participation in production as part of the AUKUS partnership, which unites the United States, Great Britain and Australia. The orders were placed by the American company Huntington Ingalls Industries (HII), which owns Newport News Shipbuilding, one of two shipyards building Virginia–class submarines.
The hull of a Virginia-class submarine, USA
Huntington Ingalls Industries
VEEM is based in Perth (Western Australia) and has a production site of 14,700 square meters. meters. The company was founded in 1968 and specializes in the design and manufacture of propellers and gyro stabilizers; in the defense sector, it also deals with propulsion systems, shaft pipelines, shut-off valves for submarines, repair and modernization of ships. VEEM supplied components for Australian Collins-class submarines and was the first to qualify for the Australian Submarine Supplier Qualification Program (AUSSQ), becoming eligible for production orders for the Virginia submarine program.
The announcement of the contracts coincided with new submarine maintenance tasks at the Australian Stirling base, where American and British multi-purpose submarines will be deployed in rotation mode from the end of 2027.
Currently, 56 Australian companies are undergoing the qualification process under the AUSSQ program, and 20 companies have already received supplier status.
"We see that the AUKUS partnership is already creating real opportunities for Australian businesses, supporting highly skilled jobs and delivering practical results for industry," said Australian Minister of Defense Industry Pat Conroy. "Integrating Australian components into the Newport News Shipbuilding supply chain opens up new opportunities for local suppliers. Every contract awarded to Australian industry helps build the sovereign manufacturing competencies and workforce needed for one of the greatest industrial endeavors in Australian history."
Recall that in September 2021, Australia, the United Kingdom and the United States announced the creation of a new security partnership – AUKUS. As part of the agreement, Canberra, in particular, decided to build at least eight multipurpose nuclear submarines using technologies transferred by Washington and London, as well as to re-equip its armed forces with American cruise missiles. The creation of this alliance resulted in the termination of agreements with France for the supply of Attack-class diesel-electric submarines.
It is assumed that Canberra will initially receive several American Virginia-class submarines, after which the production of nuclear submarines will be deployed at shipbuilding facilities in Australia.
In August 2026, the Australian company Bisalloy Steels received an order from the American General Dynamics Electric Boat (GDEB) in the amount of about 2 million US dollars for the supply of HY80 steel sheets used in the construction of Virginia-class submarines.
