"Today Ai Group joined with partner organisations in the US and UK to create an industry framework to operationalise the AUKUS arrangement. An important part of that agreement is support from US industry to address a significant barrier in defence industry, the US export control system," Innes Willox Chief Executive of the national employer association Ai Group said today.
"There is much to do in each country to ensure that our respective industries and regulatory systems are fit for purpose. Given our long history of defence trade with the US, we are particularly encouraged by many of the practical suggestions by the US Aerospace Industries Association in their statement, Operationalizing AUKUS: Recommendations for the US system.
"Trade takes two to work and many of the barriers faced by US firms also impact their Australian business partners and we commend AIA for addressing those issues with these specific recommendations for AUKUS-friendly changes to the US system.
"In particular we note that AIA has focussed on:
1. Revising U.S. Code to give the U.K. and Australia licensing exemptions from International Trafficking and Arms Regulations (ITAR), similar to the current exemption for Canada.
2. Amending the Defense Production Act (DPA), allowing projects in the United Kingdom, Australia, and New Zealand to be considered domestic projects, which recognizes the integrated nature of the defense industrial bases. The DPA currently only treats the U.S. and Canada as domestic sources.
3. Establishing an “AUKUS Industry Forum”, where the shared industry partners could provide insights into AUKUS capability planning, development and delivery with an additional focus on regulatory processes inhibiting cooperation.
"Australia’s defence sector looks forward to a new phase of industry collaboration as the respective governments act to ensure the AUKUS agreement succeeds in delivering on its ambitious aims," Mr Willox said.
Tony Melville – 0419 190 347