Australia inks MoU with the US to develop Precision Strike Missile

Australia also said it will spend $150 million AUD over the next five years to acquire an initial tranche of the PrSM system and munitions.

Jun 11, 2025 - 16:25
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Australia inks MoU with the US to develop Precision Strike Missile
prsm inc 1 launch

The PrSM is the next-generation, long-range precision-strike missile delivering critical capabilities to attack, neutralize, suppress, and destroy targets, supporting successful mission execution via combined Joint All-Domain Operations. (U.S. Army/Darrell Ames)

MELBOURNE — Australia has signed a Memorandum of Understanding with the United States for joint development of the  Precision Strike Missile (PrSM) and is pursuing negotiations for future onshore production of the missile.

“The MoU provides the ADF [Australian Defence Force] access to PrSM munitions and establishes PrSM as a cooperative program between Australia and the United States,” the Australian defence ministry announced Friday, saying the agreement was signed between Australian Deputy Prime Minister Richard Marles and US Secretary of Defense Pete Hegseth on the sidelines of the Shangri-La defense conference in Singapore.

The MoU also “opens the door for Australian industry participation in the PrSM supply chain, including for locally manufactured components and sub-components.” Additional negotiations over exactly what Australia could produce are expected to commence later this year.

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

Australia’s Minister of Defence Industry, Pat Conroy, added that the MoU demonstrates Australia’s commitment to deliver on priorities outlined in its 2024 national defence strategy announced to accelerate acquisition of long-range land and maritime strike capabilities.

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

Australia is contributing approximately $310 million AUD ($202 million USD) over 10 years to become a full cooperative partner in the PrSM program. It will also spend $150 million AUD over the next five years to acquire an initial tranche of the PrSM.

The acquisition will enable the Australian Army to establish its first long range fires regiment, equipped with the M142 High Mobility Artillery Rocket System (HIMARS) that can fire the PrSM. Australia took delivery of its first HIMARS vehicle in March this year.

The PrSM is the next-generation, long-range precision-strike missile that will replace the MGM-140 Army Tactical Missile System in the US Army. 

As part of its Guided Weapons and Explosive Ordnance (GWEO) enterprise, Australia will spend $4.1 billion Australian dollars to acquire more long-range strike systems and manufacture longer-range munitions locally.

Canberra has so far acquired 200 Tomahawk ship-launched land attack cruise missiles for its Hobart-class destroyers under the GWEO.

It will also be acquiring the AGM-158B Joint Air-to-Surface Standoff Missile-Extended Range (JASSM-ER) and AGM-88E Advanced Anti-Radiation Guided Missile-Extended Range (AARGM-ER) missiles for its F-35A Lightning II Joint Strike Fighter, EA-18G Growler and F/A-18F Super Hornet aircraft, according to the Australian Department of Defence.

Additionally, Australia is building two munitions factories for the production of guided weapons under the GWEO, in addition to existing production facilities for the BLU-111 air-dropped bombs.