With all eyes on the US Navy, HII Bolsters Submarine Supply Chain

HII was awarded a contract to deliver the new Australian Submarine Supplier Qualification (AUSSQ) pilot program over the next two years to accelerate the identification and qualification of Australian suppliers and products into the US submarine industrial base.

The contract’s initial value is $6m with the option to extend based on achievement.

“This contract represents a significant milestone in building a resilient and globally integrated supply chain for nuclear-powered submarines,” said Chris Kastner, president and CEO of HII. “HII has a long history of working with suppliers to ensure they meet the highest standards in safety, security, and performance. We welcome Australian partners to help build out this critical nuclear shipbuilding capability and ensure the long-term success of AUKUS.”

The HII led AUSSQ pilot program is part of the Australian Government’s comprehensive “AUKUS Submarine Industry Strategy,” released by the Australian Submarine Agency on March 5, 2025. The Industry Strategy “identifies the conditions to develop the sovereign industrial capability needed to deliver, operate and sustain our future conventionally-armed, nuclear-powered submarines, while also ensuring our existing Collins-class submarines are sustained and upgraded until their eventual withdrawal from service.”

The AUKUS Submarine Industry Strategy states, “The [AUSSQ Pilot program] will use a B2B model, enabling HII Australia to work directly with Australian businesses to qualify both the businesses and their products, and subsequently assist them to tender for supply into the US programs.”
“An Australian submarine industrial base capable of building and sustaining a persistent, potent and sovereign multi-class submarine capability is vital to the defense of Australia, and this Pilot initiative with HII Australia is another important step to this being achieved,” stated Richard Marles, deputy prime minister of Australia and Australia minister for Defence.

The AUSSQ pilot program will engage with Australian companies nationwide, building on the success of the recent partnership of HII Australia with both the South Australian Government and the Western Australian government, and complements the Australian government’s existing Defence Industry Vendor Qualification (DIVQ) Program.