Construction of the Australian Army's Landing Craft Heavy is now under way, the Australian government announced on 11 November 2026, with the first steel cut on the vessels late last month at Austal's shipyard in Henderson, Western Australia.

The milestone follows a similar first-steel cut for the Landing Craft Medium programme on 29 September 2026. The two programmes, worth more than $5 billion in contracts, will deliver 18 Landing Craft Medium and eight Landing Craft Heavy vessels for the Army. The Landing Craft Heavy contract is worth approximately $4 billion, while the Landing Craft Medium contract is worth $1.029 billion.

Biggest littoral recapitalisation since WWII

The project represents the largest recapitalisation of the Army's littoral capability since the Second World War, according to the government. The vessels are based on Damen's LST 100 design, displacing nearly 4,000 tonnes, and will be capable of transporting combined-arms land systems, including High Mobility Artillery Rocket Systems, Abrams main battle tanks, and reconnaissance and infantry fighting vehicles.

The first Landing Craft Heavy steel cut was performed by HD Plasma in Bibra Lake, Western Australia, while the Landing Craft Medium cut was carried out by Austal's industry partner Pacific Industrial Company at Naval Base. The project will create 1,100 direct jobs and more than 2,000 indirect jobs in Western Australia.

Funding boost for the shipyard

In a further boost to Australia's sovereign shipbuilding capability, the National Reconstruction Fund Corporation last month announced a $245 million loan to Austal Defence Shipbuilding Australia to support construction and fit-out of Landing Craft Heavy facilities within the Australian Marine Complex.

"Progress in constructing Army's landing craft fleet marks the transition from design into delivery and an important step in building a critical capability for the Australian Defence Force," said Minister for Defence Industry Pat Conroy. "These two landing craft projects are critical to the Albanese Government's continuous shipbuilding plan for WA."