Northrop Grumman Plans Australian Rocket Motor Factory

The government allocated $126.9 million to demonstrate local solid rocket motor manufacturing by 2030.

Updated on Oct. 21, 2026 in Manufacturing

Isometric editorial illustration of a rocket motor component in an industrial setting, symbolizing defense manufacturing investment. — Northrop Grumman will establish a solid rocket motor manufacturing facility in Mulwala, Australia, backed by $126.9 million in government funding. AI Illustration. Upload story photo >

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Northrop Grumman is establishing solid rocket motor manufacturing capabilities in Australia, supported by $126.9 million in government funding. The initiative aims to enable domestic production of rocket motors for GMLRS from a facility in Mulwala, NSW.

Why it matters

The Commonwealth is working to assemble guided weapons locally through the GWEO Enterprise to strengthen national defence industrial capacity. The programme aims to reach a long-term goal of producing 100 percent Australian-made solid rocket motors.

Northrop Grumman brings experience from its production of over 1.3 million solid rocket motors. The government has committed $126.9 million to initiate the local manufacturing demonstration programme.

The players

Northrop Grumman

This global aerospace and defence technology company specialises in the development and production of advanced weapons systems.

GWEO Enterprise

This is a Commonwealth initiative established to create a sovereign guided weapons and explosive ordnance manufacturing capability in Australia.

The details

The programme will progress through three phases: demonstration of manufacture, qualification, and production at the government-owned munitions factory in Mulwala. Northrop Grumman is currently initiating industry engagements to identify and source parts from local Australian suppliers.

Initial manufacturing funding was announced in April 2026.
A GMLRS demonstrator used a Northrop Grumman motor in May 2026.
A KR3.0 solid rocket motor test flight occurred on 6 August 2026.
Manufacturing demonstration completion is targeted for 2027.
Full GMLRS solid rocket motor production from Mulwala is required by 2030.

Market Landscape

This manufacturing project extends the sovereign supply chain objectives established by the GWEO Enterprise. It positions the local Australian industry to transition from importing weapon components to domestic assembly and production.

The initiative aims to build a sovereign industrial base, reducing reliance on international supply chains for critical guided weapon components. Local businesses may see increased opportunities as Northrop Grumman engages Australian suppliers for parts and materials.

The takeaway

Developing local manufacturing capabilities is a strategic shift intended to secure Australia against supply chain disruptions for essential defence equipment. The 2030 deadline for the Mulwala facility reflects the long-term nature of scaling advanced rocket production.