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Welcome to the October edition of Manufacturers’ Monthly.
In this issue’s Engineering Focus, we spotlight an exciting project at the University of Queensland, where researchers are pioneering new ways to repurpose PFAS waste for battery manufacturing. Next, we explore ELGi’s latest advancements, with an exclusive on their EG Series PM Compressor range. This issue also features two in-depth Defence Reports, offering insights into the latest emerging technologies and the evolving landscape of Australia’s defence manufacturing sector. Rounding out this edition, we feature expert commentary from AMGC, Ai Group, and Hysata, addressing key industry developments.
Shaping the future of manufacturing
As we close out 2024, the Australian manufacturing industry continues to push boundaries across various sectors – from clean energy to public health and advanced transportation. In this edition, we explore the key milestones shaping the future of the sector.
Australia’s manufacturing sector is on the cusp of a transformation driven by innovation, strategic investments, and the continued support of government initiatives.
The recent approval of CSL and Arcturus Therapeutics’ self-amplifying mRNA (sa-mRNA) COVID-19 vaccine in Japan marks a global breakthrough.
As the world’s first commercially available sa-mRNA vaccine for adults 18 and older, it underscores Australia’s growing role in biotechnology and healthcare innovation, with the potential to redefine vaccine technology worldwide.
Closer to home, Queensland’s Borumba Pumped
Hydro Project is set to create thousands of jobs while advancing the state’s renewable energy capacity.
This $14.2 billion project not only strengthens Queensland’s renewable energy infrastructure but also supports local businesses, with efforts to involve First Nations’ enterprises and regional suppliers in its supply chain.
Meanwhile, the GoZero Group’s acquisition of BusTech is a step forward for Australia’s bus manufacturing sector.
By expanding its manufacturing capabilities across South Australia and Queensland, GoZero is poised to meet the growing demand for zeroemission buses, safeguarding local jobs and contributing to the nation’s green public transport future.
Further bolstering the state’s manufacturing landscape is the Queensland Government’s Made in Queensland (MiQ) grants programme.
With $20 million in funding available for its latest
round, MiQ is continuing to create jobs and boost the competitiveness of local manufacturers.
From the success of companies like Berg Engineering to the new projects it’s supporting, MiQ plays a pivotal role in ensuring Queensland remains at the forefront of Australian manufacturing.
Additionally, we see the continued impact of advanced technologies in the defence sector, with Hanwha Defence Australia’s recent partnerships to develop assured positioning navigation and timing technology and explore drone capabilities. These collaborations are strengthening Australia’s sovereign defence capabilities and positioning the country as a leader in innovation and manufacturing.
As we look ahead to 2025, it is clear that Australia’s manufacturing sector is well-positioned for sustained growth, driven by collaboration, government support, and an unwavering commitment to innovation.
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Action needed on the Victorian Government’s use of imported steel
Weld Australia calls for action against Victorian Government’s offshoring of local infrastructure projects in favour of cheap, imported steel
Weld Australia – who represents thousands of local welders and fabricators – is calling for immediate action against the Victorian Government’s offshoring of steel for major infrastructure projects. The Victorian Government has already decimated the local steel manufacturing industry, costing jobs, investment, and threatening the sovereign capability of Australia’s manufacturing sector.
In the past six to 12 months, Victorian industry has seen an increase in the volume of imported fabricated steel. Evidence suggests that since the beginning of the year, more than 28,000 tonnes of steel has been offshored. The North East Link project is a critical example of this issue. It was recently revealed that the Bullen Flyovers, consisting of 11,000 tonnes of steel bridges and girders, were awarded to an overseas fabricator.
Despite earlier reassurances made by the Victorian Government to Weld Australia members, these contracts were awarded to a Chinese company – that is banned from operating in the US – to meet project timelines that allegedly could not be met by a single local fabricator. Weld Australia finds this rationale concerning because it is untrue.
the quality compliance requirements imposed by the Victorian Department of Transport and Planning? According to the Department’s own specifications, fabricators must be AS/NZS 5131 Certified to CC3 for such structures, yet it remains unclear if overseas fabricators meet any kind of quality standards – let alone these stringent standards. Do members of the general public feel safe driving over steel bridges not knowing whether the welds will hold?
Over the course of past two to three years, the Victorian Government has worked with local industry and disseminated supplier briefings that outlined an influx of work, calling for local fabricators to reserve capacity for 2025. Our members have repeatedly told us that they have actively scheduled this project work into their targeting and forward forecasts. As a result, local manufacturers have not pursued work on other projects, or in other industries.
Now, the Victorian Government has done a backflip, sending the bulk of the work straight offshore. How can local industry expect to operate with any kind of surety if their own government can’t stay true to its word? Our local industry is being held to ransom by duplicitous politicians.
The public should be concerned for their safety. How can an imported fabricated steel structure meet
This situation raises serious questions about adherence to the Victorian Government’s own Local Jobs First Policy. The Policy merely requires “maximisation” of local steel content without a clear percentage requirement.
A concerted effort by governments to achieve a 90 per cent domestic share of steel content in government projects would increase local steel supply by 3.4 million tonnes in total over the next five years, an average of 690,000 tonnes per annum, contributing $4.3 billion to real GDP over the next five years, assuming an average steel price of $1270/t. This price is 10 per cent higher than the projected average import price, in line with Canada’s local content policy.
Challenges ahead for Victorian fabricators
Victorian steel fabricators are struggling against the influx of imported steel, particularly from Vietnam and China, which is up to 40 per cent cheaper than locally fabricated steel. Companies across the state are reporting sharp downturns in available work, leading to redundancies, reduced work hours, forced annual or long-service leave, and operational cutbacks.
Prominent local fabricators in the Australian market have reported a staggering reduction of approximately 60 per cent in government tender availability. This downturn has already forced numerous redundancies, cut operational hours to as little as three to four days per week, and
halted major investments in production capacity. The impact extends to apprenticeships and future investments. Companies are reconsidering training programs, shelving capital investments, and struggling with tax and interest burdens.
We are witnessing a race to the bottom. How can our local steel industry compete when imports are priced below our own raw materials?
A call to the Victorian Government:
Weld Australia wants action from the Victorian Government. The government must adhere to its own Local Jobs First Policy, ensure clear local content requirements, and protect local steel jobs.
The Victorian Government needs to stand up for our manufacturing sector. These cheap imports are undermining local industry standards, taking away jobs, and compromising the quality of our nation’s infrastructure. The government must take urgent and immediate action to protect the livelihoods of thousands of workers and steel fabrication industry in Australia. We must have clear requirements for local steel content and stronger adherence to quality standards to ensure that Victorian fabricators can compete on a level playing field.
Imported steel for Victorian infrastructure projects sparks concerns over local job losses and quality standards.
GoZero Group becomes largest bus manufacturer
Following a meeting of creditors in September, GoZero Group’s bid to acquire bus manufacturer BusTech has been approved.
The acquisition is set to make GoZero Group the largest bus manufacturer in Australia.
The deed of company arrangement is expected to be finalised in the coming days, pending the successful conclusion of discussions with state governments.
“We need the state governments to demonstrate their ongoing support for the transaction to ensure that the workers remain employed in Adelaide and Brisbane, and to ensure that BusTech remains a local bus manufacturer for many years to come,” said GoZero group managing director, Stephen Cartwright OAM.
This acquisition bolsters GoZero Group’s Australian bus manufacturing capability, with BusTech’s factories in South Australia and Queensland complementing GoZero’s established Nexport bus factory in Western Sydney.
“Not only will it increase our opportunity to service the growing national market for low and zero emission buses, but it will protect local manufacturing jobs in both Queensland and South Australia at a time when the employment market remains uncertain,” said Cartwright.
“We are rapidly scaling up to be able to meet increasing demand from state governments,
councils and the private sector, increasing our investment in factories and people ensuring we have the scale and capacity to deliver Australian made world class buses.
“This acquisition is a testament of great confidence in the future of the bus manufacturing sector in Australia, and the message to all tiers of government is clear, ‘we support a Future Made in Australia, and we stand ready to help you reach your strategic zero emission targets’ and provide safer, cleaner public transport for all Australians.
“For every bus we build in Australia, five Australian jobs are created or retained. Buses are the most used mode of public transport ahead of all other modes,” said Cartwright.
Cartwright explained that the acquisition of BusTech would go a long way to solving the local bus manufacturing sector’s ‘chicken and egg’ problem, where Governments’ often expect manufacturers’ to have already invested in scaled capability prior to being offered new bus orders.
International funding for iron-flow battery manufacturing
The Queensland Government’s $25 million investment in local long-duration energy storage company Energy Storage Industries (ESI)- Asia Pacific has attracted an additional investment of $40 million from a UK-based investment fund in support of the development of Queensland’s iron-flow battery manufacturing industry.
The latest manufacturing plant is based in Maryborough and is set to be Australia’s first
manufacturing plant for grid-scale batteries, hosting the manufacturing of iron-flow batteries for long duration energy storage.
The investment seeks to capitalise on the emerging flow battery technology: A new battery technology with the potential to supply longer duration energy storage as long as 14 hours, making it crucial to ongoing global efforts towards decarbonisation and transitioning to clean and
renewable sources of energy.
“Through investments like this we meet our own future clean energy storage needs and take advantage of the massive export opportunities,” said Queensland’s Deputy Premier, Treasurer and Minister for Trade and Investment, Cameron Dick.
“By partnering with local industry and attracting private capital, Queensland is well-placed to seize the incredible opportunities presented by the world’s decarbonisation.”
The investment is part of the ongoing five-year Queensland Battery Industry Strategy that began early this year. It builds upon the $50 million Quest HUB Project.
With provided support, Queensland’s battery industry is estimated to generate $1.3 billion for the economy, alongside 9,100 clean economy jobs by 2030.
“Maryborough has a proud manufacturing history, and this investment ensures there will be manufacturing jobs in Maryborough for years to come,” said State Member for Maryborough Bruce Saunders.
An assembly production of urban electric vehicles.
new iron-flow battery plant is pioneering grid-scale energy storage for Australia’s clean energy future.
Hanwha Defence Australia signs three defence industry agreements
Hanwha Defence Australia had a busy week at Land Forces 2024 with the company’s signing three major defence industry agreements with Advanced Nagivation, AMSL Aero and Gilmour space technologies.
Hanwha Aerospace and Hanwha Defence Australia have signed a Memorandum of Understanding (MoU) with Advanced Navigation to co-develop strategicgrade assured positioning navigation and timing technology (APNT) solutions.
Signed on the opening day of Land Forces 2024 International Defence Exposition, the agreement will see the three companies collaborate on the development of high-performance inertial navigation systems for autonomous, airborne and crewed systems.
“The landscape of sovereign defence manufacturing is experiencing a seismic shift, driven by advanced technologies like automation, machine learning, and precision engineering,” said Advanced Navigation CEO Chris Shaw.
This will be used for precision targeting and vehicle navigation in GNSS (global navigation satellite system) -contested environments across land and air domains.
In the second development of the week, Hanwha Defence Australia and AMSL Aero announced a strategic partnership to develop and sustain a mutually beneficial Australian Industry Capability program for AMSL Aero aircraft.
This program will focus on advancing the
manufacturing, production and further research and development of VTOL and drone technologies for Australian defence and civil projects, with a view to global market opportunities.
The core focus areas for the collaboration will see both parties working towards:
•Hanwha Armoured vehicle Centre of Excellence (H-ACE) utilisation for high-rate production of UAS and eVTOL capability.
•Enhancing Australian Industry Capability between the two parties and their respective supply chains.
•Integrate technology and manufacturing processes through R&D projects.
•Ensure compliance and certification with relevant military and civil standards.
“We are pleased to announce this collaboration between ourselves and AMSL Aero,” said acting managing director of Hanwha Defence Australia Dean Michie.
“This is an area in which Hanwha Defence Australia seeks to explore as we look to expand our localised capabilities and ability to leverage the H-ACE facility.”
Finally, on Day 2 of Land Forces 2024, Hanwha Defence Australia and Hanwha Aerospace signed another MoU and Gilmour Space Technologies. This MoU is aimed at developing a sustainable relationship while aiding the advancement of the broader strategic interests for Australia and Korea within the Space domain.
Austal USA secures US$152 million submarine
Australian shipbuilder Austal Limited has announced that its U.S. arm, Austal USA, has been awarded a US$152 million contract by the U.S. Navy to develop submarine infrastructure.
The infrastructure is set to support the Navy’s goal of annually delivering one Columbia-class (CLB) and two Virginia-class (VCS) submarines.
The contract provides funding for Austal USA to invest as a partner in the United Submarine Alliance (USA) Qualified Opportunity Fund.
This is a private investment fund with the objective of supporting expansion of the production capacity of the U.S. submarine industrial base (SIB) through enhancing ancillary infrastructure and facilities adjacent to Austal USA’s facilities and around the Mobile area.
“This contract from the US Navy to expand production capacity further strengthens the role Austal has cemented in the US submarine industrial
base,” said Austal CEO Paddy Gregg.
Ownership of facilities acquired by the Fund will remain with the USA Qualified Opportunity Fund in which Austal USA is a limited partner, but which is
not part of the Austal Group.
This contract is separate and in addition to the US$450 million contract signed with General Dynamics Electric Boat just last week.
The MoU’s that have been signed are set to advance VTOL and drone technologies for Australian defence, civil projects, and global market opportunities.
The investment fund, which supports infrastructure enhancements near Austal USA’s Mobile facilities, operates independently of the Austal Group.
Image:
Hanwha Defence Australia
Image: Austal
ENGINEERING FOCUS
Utilising PFAS waste to manufacture batteries
A project at the University of Queensland aims to turn PFAS waste into a valuable resource for battery production.
Ateam of 15 researchers at the University of Queensland’s (UQ) Australian Institute for Bioengineering and Nanotechnology (AIBN) is developing technology to remove PFAS from contaminated water for use in battery manufacturing
PFASs are a group of synthetic chemicals used in various industrial and consumer products.
These chemicals are often referred to as “forever chemicals” because they are highly resistant
to breaking down in the environment and can accumulate over time in human and animal bodies.
These man-made chemicals are used in industrial and consumer products due to their resistance to heat, stains, grease, and water.
They are environmentally persistent and have been associated with various potential health risks in humans.
In response to the pressing need for effective PFAS remediation, the University of Queensland’s
team has embarked on the project to not only remove PFAS from contaminated water but also to repurpose it for battery production.
Polymer chemist and project lead, Dr Cheng Zheng, explained that the project was started in an effort of solving real-world problems.
“My group began focusing on PFAS remediation in 2018. As a polymer chemist, I specialise in creating new materials and polymers with specific functions,” he said.
Dr Cheng Zhang displays a PFAS battery prototype, utilising fluorine compounds for enhanced performance and stability.
Images:
University of Queensland
“Recognising the harmful impact of PFAS on the environment, I saw an opportunity to apply my chemistry expertise to address this issue.
“My passion has always been to solve real-world problems using my background in chemistry.”
Zhang expressed pride in being able to work on a project that addresses pressing environmental challenges.
“PFAS, being pervasive and challenging to remove, presented a significant problem. We aimed to innovate new solvents and materials to tackle PFAS contamination,” he said.
“Working with industry partners and governments is crucial for us, as our research influences policy and regulation.
“I’m proud of our efforts to raise awareness and push for effective solutions to this pressing issue.”
Due to their widespread use and long-lasting nature, PFAS have become a focus for regulatory agencies and environmental protection groups
globally, with efforts underway to mitigate their impact.
“People are increasingly aware of the risks that PFAS poses to human health, and how long these chemicals persist in the natural environment,” said Zhang.
“Not only does our filter technology remove harmful particles from water, but those also captured chemicals are available to be repurposed to help decarbonise the planet.
contaminated bodies of water.
“These projects are supported by the Advanced Queensland Industry Research Project,” said Zhang.
“The main innovation was the development of a polymer that can effectively and selectively bind PFAS, allowing their removal from contaminated water sources.
“The increasing demand for high-performance rechargeable batteries means manufacturers are constantly searching for new materials that improve the energy density, safety and cycling stability of batteries.”
UQ team has successfully demonstrated a filter capable of “swiftly and efficiently” removing PFAS from the environment.
With the support of UQ institutions, the team are working to optimise their technology specifically for
“The polymer can be incorporated into a cartridge or column system, where PFAS-contaminated water is filtered, leaving PFAS captured within a cartridge.”
PFAS in manufacturing
The PFAS waste captured by the team’s technology contains fluorine, a crucial element in battery manufacturing.
Fluorine is a highly reactive and electronegative element, meaning it readily forms bonds with other elements, particularly carbon.
Dr Cheng Zhang conducting a smallscale battery test at the University of Queensland’s bioengineering laboratory.
ENGINEERING FOCUS
In the context of PFAS, fluorine atoms bond to carbon atoms in their molecular structure.
This fluorine-carbon bond is strong and stable, and this is part of what makes PFAS so resistant to breakdown in the environment.
Similarly, fluorine compounds are equally vital in battery manufacturing, especially for lithium-ion batteries.
“We recently had a very positive review published in Nature Reviews Materials,” explained Zhang.
“The review highlights the crucial role of fluorine in battery research and notes that commercially available batteries – used in mobile phones and electric cars – contain fluorine.
“Fluorinated polymers and compounds are essential for enhancing the performance of these batteries currently on the market.”
Essentially, fluorine compounds are useful in battery manufacturing, particularly in electrolyte solutions such as lithium hexafluorophosphate, which enhances ionic conductivity and stability.
Ionic conductivity refers to how well a battery’s electrolyte solution allows electrical
charges to flow through it.
Whereas stability refers to how well the battery’s materials maintain their performance over time and under different conditions.
Fluorine compounds also contribute to the performance of cathode materials like lithium iron phosphate and lithium nickel manganese cobalt oxide.
Additionally, fluorinated polymers are used as protective coatings to improve durability and safety, while their thermal stability helps prevent overheating and degradation.
“Fluorine, particularly in fluorinated compounds like PFAS, is crucial for battery performance because it helps protect the electrolyte and electrode interfaces,” explained Zhang.
“PFAS, with their high fluorine content, are being considered as a source of fluorine to enhance battery performance by improving the protection of these interfaces.”
The testing process
To ensure the effectiveness of their method, the team has demonstrated the effectiveness of its
technology in multiple bodies of water, all varying in quantities of silt and waste.
As Zhang explained, these tests successfully demonstrated that PFAS can be removed from contaminated sources.
“For example, we tested them in drinking water, landfill leachate (which is very dirty), and groundwater – various types of water,” he said.
“The performance of our technology is excellent, significantly outperforming commercially available options.”
During small-scale lab testing, the team successfully reduced, and in some cases eliminated, PFAS to levels that are undetectable by liquid chromatography-mass spectrometry (LC-MS), the leading method for quantifying PFAS.
“After treatment, no PFAS can be detected, and the levels are far below the U.S. EPA regulations for drinking water,” said Zhang.
The team is now looking to begin large-scale testing in live environments, followed by a commercialise phase if successful.
“After successfully completing small-scale testing in a laboratory setting, the new project
A close-up of extracted PFAS materials, filtered from contaminated water, repurposed for battery production.
we’ve received from the Queensland government allows us to conduct large-scale testing,” said Zhang.
“This means we can test our technology in a real environment, such as a landfill in Brisbane, which is referred to as pilot testing.
“We aim to complete the pilot testing within the next one to two years.”
Commercialisation
By 2027, the team aims to shift towards commercialising the technology and is hoping to work closely with partners and end users to conduct further large-scale trials.
“Firstly, we need to find a suitable partner to scale up production,” said Zhang.
“We need third-party companies to license our technology and patents to produce it for us.”
Additionally, Zheng said that it is essential that the team identify its end users, which remains a challenge.
“Although we have multiple competitors, our technology differentiates itself from existing products on the market,” he said.
“However, it’s essential for us to clearly define our customer base and end users, as well as how we will effectively deliver our services.”
Dr Cheng Zhang working on PFAS-to-battery conversion technology.
COMPRESSORS IN MANUFACTURING
Boosting energy efficiency in manufacturing with ELGi Compressors
ELGi Compressors is a global air compressor manufacturer with a broad line of innovative and technologically superior compressed air systems, present in Australia with its wide dealer network.
ELGi has worked towards ensuring that its customers achieve its productivity goals while keeping the cost of ownership low. ELGi offers a complete range of compressed air solutions, from oil-lubricated and oil-free rotary screw compressors and oil-lubricated reciprocating compressors to dryers, filters, and downstream accessories. The company’s portfolio of over 400 products has found wide applications across industries.
Worldwide, society is struggling with issues like global warming, and an energy efficient product is subsequently a prime requirement. Over the years, ELGi has focused on improving its specific power consumption (SPC) and providing improved flow (FAD).
ELGi has also developed its new air-cooled direct drive series with Permanent Magnet Synchronous Motor (PMSM).
ELGi has upgraded its EG Series range with the introduction of the EG PM (Permanent Magnet) oil-lubricated screw air compressors available from 11- 45 kW. The EG PM is poised to deliver up to 15 per cent improved efficiency gains, aside from an incremental FAD or free air delivery of 16 per cent. The EG PM Series is tailored to deliver superior performance and energy efficiency, providing unmatched life cycle value across
The Energy-efficient ELGi EG Series PM compressor reduces operational costs and increases reliability for Australian manufacturers.
The compressor’s permanent magnet motor offers 30 per cent energy savings for medium-sized businesses.
varying load capacities.
The EG PM Series offers customers a range of intelligent features engineered to minimise energy consumption and, as a result, reduce environmental impact. The high-efficiency drive system incorporates a proprietary ultra-efficient IE5+ permanent magnet synchronous motor tailored specifically for ELGi airends. The motor’s efficiencies (between 96.5 per cent and 97.6 per cent) are well above the IE5 levels, resulting in maximised energy efficiency and carbon footprint reduction.
The directly coupled system offers optimised lower motor and airend speeds, ensuring synchronous operation and optimal performance, which is particularly effective in variable speed applications. It also features an intelligent thermal valve with an ambient temperature sensor which maintains oil at ideal operating temperature, preventing excessive heating in colder months and resulting in improved energy efficiency. The Neuron 4 controller offers a comprehensive solution for superior and reliable compressor operation. Equipped with an industrial-grade 7-inch touchscreen interface and intelligent algorithms, the Neuron 4 is designed to optimise energy usage, enhance overall operational efficiency, ensure safe and controlled operations, and facilitate proactive maintenance.
ELGi PMSM motor
ELGi has designed its own robust, IP55 rated motor by leveraging induction motor’s capacity. Its motor or air-end as they are built rigidly. In the most unlikely event, if required, ELGi can service air-end and motor separately which isn’t possible with most permanent magnet machines available in the market.
Why IE5’+’.? For motors, only IE5 regulation is available, and ELGi is exceeding that regulation.
Why ELGi chooses PMSM
Induction motor doesn’t exceed IE4 and customers often need something better than that, so ELGi has chosen synchronous technology. There are many options, but ELGi chose PMSM as it has lowest losses among all. The technology is very precise; it receives input and gives feedback as well. Which gives ELGi the opportunity to provide an efficient compressor. VFD can run at lower turndown as well. Drop in the efficiency from 100 per cent load to lower load in PMSM technology is least against all other technologies. The compressor is fitted with an intelligent thermal valve system (ITV) for effective thermal management, which works intelligently with inputs from ambient and lube temperature sensors through Neuron IV controller and gives variable output. ITV reacts instantly to
temperature change and reduces thermal stress on the oil. By optimising the oil temperature and flow, reducing the load on the airend enables energy savings.
Machine comes with optional Air Alert; which is an IoT-enabled monitoring and alert system compatible with ELGi’s range of air compressors. Data analysed and delivered by Air Alert from your compressor enables you to improve your compressor’s energy efficiency and uptime. Air Alert also allows 24x7 remote monitoring from anywhere in the world.
For peace of mind, the entire EG range, including the EG PM range and SP range, comes with ELGi’s warranty package, which includes a 10-year warranty on the air end, 5 years on key compressor components, and 3 years on the VFD.
ELGi’s moto, ‘Always Better,’ drives the company to constantly improve its products, maximising efficiency and dependability to lower lifecycle expenses and lessen the environmental footprint of its customers’ operations. The company’s aim is to provide its customers swift and effective service support, the best uptime with superior reliability and durability and the lowest lifecycle costs through its comprehensive warranty coverage and broad channel partner network.
GENERATORS IN MANUFACTURING
Power Equipment to distribute Eniquest diesel generators
Power Equipment partners with Australian manufacturer Eniquest to distribute durable diesel generators, boosting power solutions across industries.
Power Equipment, a distributor of power solutions in the industrial and marine sectors, has announced an exclusive distributor agreement with Australian generator manufacturer Eniquest.
The Eniquest generator range, which currently includes the Husky, Ranger and Stockman models, will be available through Power Equipment and its dealer network throughout Australia, New Zealand and South Pacific regions.
The two companies already enjoy a solid relationship, with Power Equipment supplying Yanmar and John Deere diesel engines to Eniquest. Eniquest recently also secured an important Australian Defence Force contract to supply generators using Yanmar engines from Power Equipment.
The addition of Husky, Ranger, and Stockman
generators to Power Equipment’s portfolio enhances its ability to meet diverse customer needs across various industries, including construction, mining, agriculture, and emergency services.
Power Equipment CEO, Luke Foster, said the distribution agreement was an important milestone for both companies.
“Eniquest’s generators are renowned for their reliability, durability, and superior engineering,” he said. “They are a premium machine manufactured in Australia – we couldn’t ask for a better addition to our portfolio of products.
“Having worked together with Eniquest for many years providing Yanmar and John Deere diesel engines for their generators, it was a natural fit to partner with them as distributors,” Foster added.
Don Pulver, managing director and development engineer for Eniquest, said his company was an
Australian manufacturer whose focus was on building a premium product.
“We’re not just about quality – we’re here for the long term and this partnership with Power Equipment allows us to focus on what we do best – designing and building better generators,” he said.
The lightweight and compact Eniquest generator
Don Pulver, managing director and development engineer at Eniquest, standing next to the Ranger 8000. diesel generator
The Stockman 850, a powerful Eniquest diesel generator powered by a John Deere engine.
Images: Power Equipment
range features fuel economy, robustness, quality build materials and top-end controller design.
“Our Ranger and Stockman generators deliver unbeatable efficiency by using Yanmar diesel engines and permanent magnet alternators delivering 93 to 95 per cent efficiency,” Pulver explained.
“These generators are designed with a controller that utilises no relays, which when combined with an alternator that has no electronics inside, creates
less possible failure points in sensitive componentry making the machines more robust overall.”
The Eniquest generator range also boasts a range of features, options, and unique design elements. These were fundamental factors in its successful military generator contract win.
The Husky model – suited for agricultural applications – is available in 3kVA and 5kVA singlephase capacities, with optional 3-phase power output if required.
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The larger Ranger and Stockman models currently cater for virtually any application and deliver from 3.7kVA up to a powerful 44kVA across 14 variants in single and three-phase outputs. Eniquest recently doubled the size of its manufacturing facility in Queensland, assuring supply can be met no matter the demand, unlike the shortages and supply chain issues it has experienced throughout the industry in recent years.
Eniquest engineers assembling diesel generators, ensuring the highest quality standards.
MATERIALS HANDLING
Supporting manufacturers with preventive maintenance
Manufacturers’ Monthly explores how Kito Crosby Australia, with its focus on lifting equipment, aids manufacturers during year-end downtime through preventive maintenance strategies.
In the manufacturing industry, year-end shutdowns provide an opportunity to perform essential maintenance without interrupting production.
This period, when machinery rests and the workforce is reduced, is the ideal time for manufacturers to ensure that all equipment is functioning optimally.
Kito Crosby Australia, known for its reliable and efficient hoisting solutions, highlights the importance of preventive maintenance during this period.
Preventive maintenance: a strategic focus
As Zach Williams, engineering manager at Kito Crosby Australia, explains, preventive maintenance during year-end downtime is a critical opportunity to prolong the life of heavy-duty lifting equipment.
“I oversee product maintenance, support, and safety for Kito hoists, providing preventive maintenance guidance and troubleshooting technical issues,” he said.
“Year-end downtime provides a rare chance to inspect equipment without disrupting production.
“For heavy-duty lifting equipment like the Kito hoist, this is the time to address wear and tear that accumulates throughout the year.”
Kito Crosby Australia offers its customers technical support and ensures that spare parts are readily available, enabling manufacturers to conduct maintenance effectively.
By planning preventive maintenance during shutdowns, companies can identify potential problems early, avoid costly repairs, and ensure equipment is in top condition when operations resume in the new year.
“A well-structured preventive maintenance program identifies wear and tear early, allowing manufacturers to address potential problems before they cause equipment failure,” said Williams.
Best practices for hoist maintenance
When it comes to maintaining lifting equipment, certain practices stand out as essential.
According to Williams, routine cleaning and lubrication of load chains is one of the most critical tasks, often neglected.
“Improper cleaning and lubrication can lead to
premature wear of the load chain,” he said.
Limit switches, hooks, latches and brakes should also be inspected regularly to prevent operational inefficiencies and to ensure that the equipment runs smoothly.
Williams also emphasises the importance of following the maintenance recommendations outlined in the equipment manual.
These include cleaning and lubricating the load chain, inspecting cables and the pendant control panel, and adhering to standard discard criteria for each part.
Keeping a detailed log of maintenance activities is also advised to track the hoist’s performance over time.
“It’s also essential to replace worn-out components before they lead to larger issues. Keeping a detailed maintenance log is another important aspect to track the performance and lifespan of the hoist.”
“Furthermore, avoiding the use of non-original market parts and opting for the manufacturer’s original spare and wearable parts, such as trolley wheels and load chains, can significantly maximise the lifespan of the hoist.”
Kito Crosby Australia’s preventive maintenance programs help manufacturers minimise downtime and optimise lifting equipment performance. Images:
Advanced features simplify maintenance
Kito hoists, known for their robustness and reliability, are designed with features that simplify maintenance.
Key among these is the built-in Count Hour (CH) meter in the Variable Frequency Drive (VFD), which track running hours and the number of operations.
These features enable users to plan maintenance proactively, reducing downtime and ensuring that the hoists continue to operate at peak efficiency.
Kito’s design also facilitates quick inspections, with easily accessible components and a strap-on cover that makes routine servicing more efficient.
Additionally, Kito Crosby Australia offers onsite training for hoist operators, ensuring they are well-equipped to carry out maintenance tasks and operate the equipment safely.
Operational efficiency and safety
One of the main goals of preventive maintenance is to ensure that equipment operates efficiently and safely.
By conducting thorough inspections during year-end shutdowns, manufacturers can avoid unexpected equipment failures and reduce downtime during peak production periods.
Regular maintenance not only improves operational efficiency but also enhances the safety of lifting operations.
Kito Crosby Australia emphasises the importance of using Kito original and genuine parts, combined with a strict preventive maintenance program, is essential to improve the safety of users’ operations but also reduced downtime and repair costs.
Ensuring that these components are functioning properly is crucial for both the longevity of the equipment and the safety of the operators. Consequently, they have been able to maintain high operational efficiency throughout their production processes.
A proactive approach to maintenance
Looking ahead, the company is dedicated to helping manufacturers implement year-round preventive maintenance strategies.
It provides technical support and offers detailed maintenance schedules to ensure that checks and repairs are carried out regularly, not just during yearend shutdowns.
With tools such as the Media Hub, Kito also offers customers access to instructional documents, 3D visualisers and animations that enhance maintenance knowledge.
These resources help maintenance teams develop the skills they need to keep equipment running smoothly throughout the year.
In such a fast-paced industry, proactive maintenance can be a game-changer.
By planning preventive maintenance during yearend shutdowns, manufacturers can reduce the risk of equipment failure, extend the lifespan of their machinery, and improve overall operational efficiency.
Kito Crosby Australia, with its commitment to supporting manufacturers and simplifying hoist maintenance, plays a crucial role in ensuring that manufacturers start the new year with confidence, knowing their equipment is in optimal condition.
“Using original Kito parts during maintenance ensures compatibility and reliability, further enhancing equipment performance. Genuine parts are designed to meet the specific requirements of Kito hoists, reducing the risk of failure and prolonging their lifespan,” said Williams.
“Proactive maintenance is nearly three times more cost-effective than reactive maintenance.”
“It helps equipment run smoothly, reduces unexpected breakdowns, and delivers significant long-term cost savings.”
Kito Crosby Australia offers tailored on-site training, ensuring operators are well-prepared for effective equipment maintenance.
Navigating the OT cyber threat landscape
Dragos’ Executive Guide to Manufacturing provides strategies to secure Operational Technology environments, protect assets, and implement cybersecurity
Manufacturing environments are increasingly becoming targets for cyber adversaries.
The digitalisation of manufacturing processes has blurred the lines between IT (Information Technology) and OT (Operational Technology), making it easier for threats to proliferate from enterprise IT into OT environments. This convergence has introduced several trends:
• Proliferation from IT to OT – compromises originating in enterprise IT are increasingly affecting OT environments due to business and process dependencies.
• Removable media as a threat vector – the use of removable media such as USB drives and CDs has re-emerged as a threat vector, often serving as the initial infection point.
• Ransomware – ransomware continues to plague the manufacturing sector, with adversaries realising that disrupting production is an effective way to force victims to pay ransoms
Follow this QR code to access the Executive Guide to Manufacturing.
Images:
Dragos
Key adversaries like Chernovite target manufacturing with sophisticated malware, disrupting operations and safety.
Dragos OT Cyber Threat Intelligence identifies and tracks adversaries that are relevant to the manufacturing sector. These adversaries are categorised based on their observed behaviours rather than their intent.
• Gananite, Laurionite, and Wassonite – these threat groups focus on espionage, initial access, and data exfiltration. They have been observed targeting critical manufacturing across various geographies and sectors.
• Chernovite – this threat group stands out due to its development of a modular industrial control systems (ICS) malware framework known as PIPEDREAM. This framework includes several distinct modules designed to interact with and disrupt various ICS components
Chernovite’s PIPEDREAM framework
Chernovite’s PIPEDREAM framework is concerning because of its modular nature and the sophistication of its components. The ICS malware framework includes:
• Evil Scholar, which targets Schneider Electric programmable logic controller (PLCs).
• Bad Omen, which interacts with Omron software and PLCs.
•Mousehole, which interacts with OPCUA servers.
• Dust Tunnel, which performs host reconnaissance and command and control.
• Lazy Cargo, which exploits vulnerabilities to load unsigned drivers in enterprise IT environments. The modularity of PIPEDREAM means that it can be adapted and expanded, posing a threat to both enterprise IT and OT manufacturing environments.
Ultimately, malware targeting ICS or PLCs can disrupt manufacturing operations by halting production lines, damaging equipment, manipulating process controls, and compromising safety systems, leading to financial losses, operational downtime, and safety hazards for employees and the facility.
Manufacturing threat scenarios to consider
Real-world scenarios for manufacturers to consider include:
• Ransomware propagation – iIn a typical ransomware event, the initial infection occurs in the IT enterprise. Once the ransomware gains privileges, it propagates through the network, encrypting data and disrupting operations.
• Transient devices – transient devices like USB drives can introduce malware into control systems during maintenance operations. Without strong removable media policies, these
devices can bypass network segmentation and spread malware.
The rapid adoption of smart technologies in manufacturing introduces new cybersecurity challenges. These technologies expand the attack surface and require a skilled cybersecurity workforce to manage them. Additionally, manufacturing organisations involved in wartime efforts are at greater risk of sabotage, as seen in the recent Ukraine-Russia conflict.
By understanding the behaviours and capabilities of key adversaries, organisations can better prepare and defend against these threats. Manufacturers need a robust cybersecurity strategy that includes strong policies, continuous monitoring of IT and OT environments, and ongoing investment in cybersecurity skills and technologies.
As the digital transformation of manufacturing continues, staying informed and vigilant is crucial to safeguarding operations and maintaining resilience against cyber threats. Don’t wait for a cyber incident to disrupt your manufacturing operations. Download the Manufacturing Executive Guide for OT Cybersecurity and take the first step towards a more secure future for your manufacturing enterprise.
AUTOMATION
Kemppi innovates automation with cobot and robot solutions and WeldEye software
Kemppi drives welding innovation with cobot and robot solutions and WeldEye, an Industry 4.0-ready software that empowers manufacturers to optimise their processes and boost efficiency.
Kemppi is a Finnish company renowned for its pioneering role in arc welding technology, providing advanced welding equipment, digital solutions, and services.
Established in 1949, it serves a global market, including Australia, through a network of skilled partners and subsidiaries in more than 70 countries. Its product portfolio includes manual, cobotic and robotic welding solutions, as well as WeldEye, an Industry 4.0-ready welding management software.
Kemppi focuses on producing advanced welding systems tailored for manual, cobotic, and robotic applications. Kemppi’s cobot-ready welding machines can be easily connected to many different cobot brands via their network of skilled system integrators.
Kemppi’s expertise lies in developing the welding equipment, software, and accessories that seamlessly integrate with both new and existing cobot and robotic systems, enhancing precision and efficiency in automated welding processes.
This specialisation allows manufacturers to leverage the benefits of cobotic and robotic automation without compromising on the quality or adaptability of their welding solutions.
What is the Master M series and the X5?
Kemppi has an extensive range of cobot-ready welding solutions, including the Master M 353, Master M 355 and Master M 358, and the X5 FastMig and X5 FastMig Pulse.
While the Master M 358 offers high versatility with 99 memory channels, the Master M 353 and 355 models provide streamlined solutions for simpler welding tasks with up to six memory channels. These models are ideal for manufacturers looking for cost-effective cobot solutions where frequent reprogramming isn’t necessary.
The X5 FastMig Pulse further enhances flexibility by
enabling high-speed pulse welding, making it wellsuited for intricate cobot applications demanding precision and quality.
These features support precise process management and monitoring, ensuring strict adherence to welding procedures in both manual and cobot welding applications.
According to Mike Burt, Automation Specialist AU/NZ, Kemppi Australia, “You can call up 99 different memory channels for each task within that component. In comparison, the Master M 353 and 355 models have a maximum of six channels.”
This allows for simplified re-tasking of cobots, enhancing efficiency in automated environments.
“Especially with a 358, where you can name memory channels. You can label them in a way that corresponds to the cobot or a specific job, making it much more intuitive,” Burt said.
The X5 FastMig series is optimised for the most demanding industrial applications, offering superior performance in both manual and cobotic use.
With advanced welding processes such as highspeed, vertical up welding, and multi-process capabilities, the X5 FastMig is well-suited for cobot applications that demand precision across various
materials and thicknesses.
Its robust construction and digital controls ensure consistent quality, making it suitable for both light precision work and heavy-duty operations. Ultimately, Kemppi’s cobotic welding solutions provide significant time and cost savings by streamlining workflows and optimising resource utilisation.
The ease of reprogramming a cobots welding
A closeup of Kemppi’s cobot ready welding machines.
Images: Kemppi
Automated welding with the AX MIG welder.
parameters allows for quick adaptation to new tasks, reducing downtime and labour costs.
By automating repetitive tasks and enabling skilled welders to focus on more complex work, these technologies serve as powerful tools for enhancing productivity.
Kemppi’s AX MIG Welder is designed for easy integration with most robotic welding platforms, offering quick setup and remote management through a web-based interface.
It provides 400 and 500 A power options for synergic and pulse MIG welding, suitable for a range of materials, including mild steel, stainless steel and aluminium.
These features make the AX MIG Welder an optimal choice for robotic welding, where minimal human intervention is required, and rapid task switching is essential.
The fast setup time and automated parameter adjustments significantly reduce downtime, allowing the AX to perform highly accurate welds even in complex or variable tasks.
By enabling robots to execute welds quickly and precisely, manufacturers can increase throughput and maintain consistent quality across multiple jobs.
The AX MIG Welder is also equipped with Gas Flow Sensor and Collision Detection features, enhancing reliability and accuracy.
Innovating ERP for welders
WeldEye is a comprehensive welding management software, supporting compliance with international standards and optimising production processes.
The platform also provides traceability, real-time monitoring, and documentation for every weld, enabling efficient production management and reducing repair rates.
WeldEye is compatible with any brand’s welding equipment and is accessible as a cloud service, making it suitable for global operations.
“We are one of the few manufacturers, one of the few systems, that actually work with other manufacturers,” explained Burt.
“Nearly every single system we have out there is used on both Kemppi and non-Kemppi equipment.”
Notable clients include defence contractors and structural steel manufacturers.
“Jayben Group is a prime example. They use our handheld machines and have integrated cobots equipped with a Kemppi welding system,” said Burt.
“They also utilise our WeldEye platform.”
ArcVision, a module within WeldEye, is compatible with the Master M 358 and the X5 FastMig. It provides real-time monitoring and data insights from welding stations and can be accessed directly within the platform.
ArcVision monitors welding by collecting and uploading data from stations, visualising it in customisable tables and graphs.
As Burt explained: “ArcVision has two components: the Digital Welding Procedure Library, where you can store all of your company’s procedures, and the welder can access and load these procedures directly.”
“This ensures your welding always conforms to the specified procedure. It also tracks the parameters used for each weld and reports them back.”
By integrating the 358 and X5 with WeldEye ArcVision, manufacturers can monitor their cobot welding operations in real-time to track key performance.
This data-driven approach allows users to adjust parameters on the fly, reducing the likelihood of errors and maximising uptime.
As part of its offering, both the Master M 358 and the X5 with the APC feeder include a free three-month trial of WeldEye ArcVision.
Once clients sign up to the platform for the free trial, the wider Kemppi team is alerted to provide guidance and support.
“We guide them through the setup process, address any questions they may have, and provide guidance on using the platform,” said Burt.
“We then explain the types of data they can expect, and how to interpret it effectively.”
Welding with ABB cobot and the Master M welder.
The AX MIG welder in action.
SPECIAL REPORT: FUTURE MADE IN AUSTRALIA
Regional Australia leads a future made on home soil
A recent public address underscored the role that regions like the Hunter play in revitalising Australia’s manufacturing.
Announced in the Federal Budget 2024/25, the $22.7 billion Future Made in Australia investment package aims to secure industrial benefits and enhance the nation’s global economic standing through a transition to Net Zero.
“This Future Made in Australia package is the biggest pro-manufacturing package in Australian history,” said assistant minister for Trade and for a Future Made in Australia, Senator Tim Ayres.
To foster this growth, the package prioritises the use of private sector investment to help ignite Australia’s energy transition.
“All investment is welcome. The Future Made in Australia is about driving the big transformational nation-building investments in manufacturing capability,” said Ayres.
“It is designed to attract the investment of the world’s best manufacturers.”
The Hunter Valley, which in the past has been an Australian industrial superpower and stands to benefit from the package, was the focus of a recent conversation between Ayres, Jenny Marchant and Dan Cox from ABC Newcastle.
The interview went into depth regarding the role that industrial regions like the Hunter have in rebuilding Australian manufacturing.
“The benefits, the investment, will disproportionately happen in big industrial regions like the Hunter,” he said.
“That’s where the energy and metals processing and manufacturing capability is, and that’s where we’re driving investment towards.
“The Hunter is Australia’s largest regional economy.”
Balancing foreign investment and local capabilities
Ayres said that a large focus of his role is to ensure local businesses from regional areas are benefiting from private sector investment once attained.
“I want to make sure that as we move this agenda
forward, that we’re doing it with local industry, so that firms in the supply chain benefit,” he said.
“We’ve got the world’s best industrial capability in the Hunter. The energy powerhouse of the country with a rich industrial history.”
Ayres envisions a seamless transition into the future landscape as the region already practices harmony between anchor investment companies and smaller firms.
“The big anchor investment industries like Tomago Aluminium – like the power stations, like the big metal manufacturers, like rail manufacturing – all have a supply chain of smaller firms who’ve got engineering capability, like Valley Engineering,” said Ayres.
“That’s the way that the Hunter Valley economy already works.”
Despite seeming as though smaller companies may get lost in the shadow of larger manufacturers, Ayres insisted that they are instead the ones that stand to benefit the most.
“And that’s where the big job opportunities are,” he said.
The power of wind
The co-existence between larger conglomerates and smaller firms on renewables projects, such as offshore wind, has the potential to drive thousands of jobs in construction.
“Big projects like offshore wind have the potential to drive thousands of jobs in construction, around 1000 jobs in operations and maintenance, but also to sustain thousands and thousands of jobs,” he said.
Ayres said the Hunter and other regions will provide opportunities for the next generation of apprentices and cadets to engage in this industrial transformation.
“We’ve got fantastic young kids at school now who will have opportunities for apprenticeships, for
Renewables
engineering cadetships,” he said.
“We want to make sure that every one of them gets the strongest opportunity possible.”
Not only are the projects set to create thousands of jobs, but Ayres said they will drive billions of dollars in local economic benefit.
“These kinds of projects, big battery storage projects, manufacturing projects, they are all going to drive… billions of dollars’ worth of opportunities for the local economy,” said Ayres.
Aware of some Hunter community’s opposition to wind power, Ayres said that the projects will undergo proper approval to ensure environmental suitability to the region.
Another line of questioning from the ABC interview was whether federal government involvement is essential to stimulate private industry investment.
Ayres said that this process isn’t used specifically in Australia, but by Governments all around the world who want to speed up nation-wide industrial transformations.
“We want to be at the big table, bringing the biggest manufacturers here, bringing their expertise to support Australian manufacturing,” he said.
“It’s in our national interest to act in order to secure our future economic resilience… to secure the future shape of an Australian economy where we are going to need to be making more things here in Australia.
“We’re going to need to be more resilient and that means rebuilding Australian manufacturing. That’s what a Future Made in Australia is all about.”
Ayres described the investment as a part of a two-pronged plan to lift current national economic circumstances.
“One is focusing on the here and now questions of cost of living, putting downward pressure on inflation,” said Ayres.
“There’s also the question about the future shape of the Australian economy and making sure that we’re safe, that we’re resilient and that we’ve got a prosperous economic future that the region shares in.”
Shifting from broader economic strategy, Ayres addressed the decision-making behind how the package will identify and correct the recipients for long term growth. He cited the National Interest Framework as the path forward for this selection process. The framework puts strict parameters around government decision making now and into the future.
“… The National Interest Framework is... Legislation to put strong guardrails around government decision making now, but also into the future, so that what we’re supporting is industries that are in the national interest and industries that are going to have a future comparative advantage,” he said.
“If we just leave these questions to the market, then Australia will be predominantly a less complex economy where we’re just exporting commodities offshore rather than adding value here.”
Ayres said that ensuring selected industries can stand independently of government funding hinges on attracting private sector investments that are sustainable.
“Predominantly the measures here are Production Tax Credits, which are about foregone future revenue for investments that we are driving into Australia. And
those tax credits only become payable when the firm manufactures in Australia,” he said.
“All the issues about future sustainability, future scale and capacity are being driven into the model. Investments will only occur where they are sustainable and where they’re going to have future markets and future comparative advantage.”
Ayres said that the framework ensures that the package remains to its point of creating future jobs in manufacturing and creating an economy that competes globally.
“That’s the point of the Future Made in Australia process. That’s why the National Interest Framework is at the heart of it,” he said.
“And that is why the predominant measure is the
FRESH AIR
Production Tax Credits that are no regrets measures backing future investment that will change the shape of the modern Australian economy and mean that there are good jobs in future manufacturing and that we’re an economy that makes things and competes at global scale.”
As he prepared for an appearance at the University of Newcastle forum, Ayres re-emphasised that a key focus of Future Made in Australia is to direct benefits toward regions like the Hunter.
“Today’s meeting with 100 plus local manufacturers and local organisations is about making sure that we’re driving the benefits for good, skilled local jobs and training opportunities for young people in the Hunter,” he said.
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Sci-fi becomes reality DEFENCE INSIGHT
Amidst the plethora of uncrewed vehicles used globally, the Australian Defence Force (ADF) and AIM Defence have developed the Army’s first in-use directed energy weapon for Counter-small uncrewed aerial systems (C-sUAS) exploration – a laser system.
Drones are a key marker of a rapidly evolving world, increasingly utilised across industries, supply chains, and recreational activities.
As reported for the World Economic Forum, drones have revolutionised access to essential medicine for remote and rural communities, making critical supplies available
For example, Zipline, a US medical drone company, has been deploying drones to transport medical supplies to individuals in rural areas of Rwanda and Ghana.
Zipline’s lightweight drones can deliver packages
from distribution centres to clinics located up to 85 kilometres away, reducing travel times and ensuring that perishable items, like blood, remain viable by reaching their destinations swiftly.
It adapted its system to aid in the fight against COVID-19, enabling Ghana to distribute 13 per cent of its initial vaccine supply within just three days. Beyond healthcare, drones are also playing a growing role in environmental conservation efforts.
Conservationists are using drones to monitor endangered wildlife, assess deforestation, and map difficult-to-reach ecosystems.
For example, drones equipped with thermal imaging cameras help protect endangered species from poachers, while others are used to rapidly replant trees in deforested areas.
The agricultural sector is also harnessing drones to monitor crop health, optimise irrigation, and reduce the need for harmful pesticides by delivering targeted treatments.
This is leading to more efficient farming practices and supporting efforts towards global food security.
As drones become more sophisticated, their positive contributions to society continue to expand.
The FRACTL Portable High Energy Laser system set up for testing alongside an Australian Defence Force vehicle.
Images: Department of Defence
From disaster response teams using drones to survey areas impacted by natural disasters, to energy companies inspecting critical infrastructure like power lines and pipelines, the applications are as diverse as they are impactful.
Their ability to access hard-to-reach areas and perform tasks quickly and efficiently has redefined how industries and humanitarian organisations operate.
Additionally, drones are becoming more prevalently used for humanitarian applications. The World Food Programme has deployed drones to assess areas affected by natural disasters, such as the aftermath of the 2015 earthquake in Nepal.
The drones provided detailed aerial surveys that helped relief workers identify the most devastated areas, improving the speed and precision of aid delivery.
In addition to disaster response, drones play a critical role in environmental conservation.
Drones in defence
Drones are not only versatile and valuable tools used across various fields, but they are also affordable and accessible globally, such as within the defence sector.
While drones have revolutionised industries and logistics, their affordability and accessibility also make them vulnerable to misuse.
In defence, the same qualities that make drones valuable can turn them into potent challenges. They are becoming commonplace in defence across the globe, used for surveillance, target acquisition, and battle damage assessment.
Drones can provide distinct tactical benefits and improve operational efficiency across a range of combat situations.
Vision of Humanity – an initiative that focuses on measuring and promoting global peace – reported that between 2018 and 2023, the use of drones by states increased by 150 per cent, from 16 to 40.
In contrast, non-state groups utilising drones surged by over 1,400 per cent, from six to 91.
To counter the rising threat posed by low-cost drones, countries like the United States are increasingly deploying Directed Energy Weapons (DEWS), with lasers proving to be a particularly effective solution.
Low-end asymmetric drones, which are relatively inexpensive and simple uncrewed aerial vehicles, are often employed in unconventional tactics to exploit vulnerabilities or achieve strategic objectives.
However, cost-effective manufacturing processes involved with low-end asymmetric drones also makes them highly susceptible to high-powered lasers.
DEWS have advanced considerably since their initial conceptualisation during the late 20th century.
Early research primarily concentrated on highenergy lasers (HELs) and microwave weapons designed to intercept and neutralise targets.
In the 1970s and 1980s, the U.S. military invested
An ADF operator monitors the FRACTL laser system’s performance during a live test, tracking and targeting simulated drone threats.
DEFENCE INSIGHT
heavily in laser research, leading to the development of the Airborne Laser (ABL) program.
Despite facing numerous technical challenges and eventually being discontinued, the ABL laid important groundwork for future DEW advancements.
The increasing sophistication of drones has driven the advancement of DEWS.
Recently, the ADF has made its own advancements in this front, by testing its own DEW, the FRACTL Portable High Energy Laser.
Robotic and Autonomous Systems Implementation and Coordination Office’s (RICO) Warrant Officer Class Two (WO2) Eli Lea said that the FRACTL laser could be one of many emerging technologies designed to address these challenges.
“Shooting small multi-rotor UAS out of the sky is particularly challenging. A DEW that can detect, track and engage those types of targets is a part of that tool set.”
One of the biggest challenges for Defence is to ensure that these emerging countermeasures are cost-effective.
Lea stated that it is essential to have defensive systems capable of effectively countering uncrewed
systems without incurring high costs.
“Drones offer mass, which means overwhelming systems through large numbers,” he said.
“The ability to rapidly and cost-effectively engage a swarm or group of drones is highly desirable.
Manufacturing directed energy weapons
AIM Defence, based in Melbourne, is responsible for manufacturing the DEWS currently being explored by the ADF.
The company specialises in advanced directed energy systems and artificial intelligence solutions tailored for defence applications.
Earlier this year, Deputy Prime Minister and Minister for Defence, Richard Marles, officially inaugurated AIM Defence’s cutting-edge advanced manufacturing and export facility.
AIM Defence has expanded into a new 4,000sqm facility to support the production and export of its FRACTL Counter-Uncrewed Aerial Systems laser.
This facility will accommodate a team of researchers, scientists, and engineers from various disciplines and will help increase domestic production of the FRACTL units.
“Our investment into these state-of-the-art facilities demonstrates AIM’s drive and commitment to high value manufacturing in Australia. We’re proud to be building cutting edge systems for Australian Defence and our allies right here in Melbourne,” said co-CEO of AIM Defence, Dr Jae Daniel.
What makes lasers perfect against drones?
Lasers offer an effective countermeasure to drones because of their precision, speed, and ability to neutralise threats instantly without the need for physical ammunition.
High-powered anti-drone lasers work by emitting a concentrated beam of light at a specific wavelength that is absorbed by the drone’s components.
The laser’s intense energy heats the targeted parts, such as the drone’s propulsion system or electronic components, to the point of failure.
By precisely targeting and focusing the laser on critical areas, these systems can disable or destroy drones with high accuracy.
The Australian Army’s Director-General of Future Land Warfare, Brigadier James Davis explained that
TA close-up of the FRACTL laser’s handheld control interface, showcasing its design for targeting.
the growing use of electrical and optical systems, which can aggregate imagery from multiple sensors, makes it crucial to have the capability to disrupt or neutralise these systems.
DEWS can offer distinct benefits for this purpose.
Provided that there is a power source, DEWS can operate with virtually unlimited capacity and at almost any range.
“As long as there is power, DEWS offer virtually unlimited magazine capacity.
“Additionally, they can produce a range of effects depending on the engagement distance and power settings – ranging from dazzling or blinding effects to destructive capabilities, making them versatile for various applications.”
Aim Defence has stated it can burn through steel and can track objects as small as a 10-cent piece travelling 100kph a kilometre away.
The FRACTL laser, unlike traditional ballistic weapons, can also strike any target
instantaneously, as the laser beam travels at the speed of light.
This is advantageous when targeted drones that travel at high speeds, but there are other timesensitive scenarios where this would prove useful.
“Directed energy weapons operate at the speed of light, which is incredibly advantageous,” said Brigadier Davis.
Testing the laser
The FRACTL laser was recently tested at the Puckapunyal range in June 2024.
During the test, several operators had the opportunity to trial the technology.
Brigadier Davis highlighted the FRACTL laser’s user-friendly design, stating that its intuitive controls make it accessible for nearly all soldiers, simplifying training and operational integration.
“To make it even more user-friendly, the controls are designed to be familiar to most young people,
and essentially anyone joining the army, as they replicate commercial setups,” said Davis.
“This should result in a lower training burden and better integration with our existing systems.”
Corporal Patrick Flanagan, who operated the laser during the Puckapunyal test, recounted his experience successfully shooting down a drone.
“You push a button to track the drone, and the computer takes over, then you push another button to ‘pull the trigger’ just like a video game,” Flanagan said.
“With your index finger you can quickly change your aim between the drone’s video camera, centre mass or one of the propellers.
“It only takes seconds to knock out the camera and two or three seconds to disable the rotor.”
Aim Defence will leverage the insights gained from recent tests to refine and enhance their design.
Co-founder Jessica Glenn said the Puckapunyal
AIM Defence engineers brief ADF personnel on the deployment and functionality of the FRACTL laser system during testing at the Puckapunyal range.
DEFENCE INSIGHT
A close-up view of the FRACTL laser’s advanced optics, capable of tracking and neutralising drone threats with accuracy.
demonstration was an exceptional result for the company.
“It paints a pathway toward getting this novel wavelength to match similar ranges as our one-micron system, which is achieving 1.5km counter sensor and approximately 1km hard kill engagements,” Glenn said.
Brigadier Davis explained that the Puckapunyal test will advance operator capabilities and future defence scenarios.
“The Puckapunyal test was a significant step in bringing operators closer to the capability of aiding in defence development,” said Davis.
“We plan to continue enhancing the operational realism of the scenarios in which these capabilities are employed.”
Brigadier Davis explained that while operators were involved, the field scenario was relatively straightforward, and that the ADF is planning to make future tests more complex and incorporate additional systems.
“Although operators were present, the field scenario wasn’t particularly complex, and we aim to increase that complexity while also integrating additional systems,” he said.
“We understand that kinetic systems, including directed energy, perform best when cued by something like radar.
“Therefore, we plan to incorporate more of these
systems and link them to our C4 systems, allowing operators to better distinguish between threat and friendly uncrewed systems.”
What laser tech means for industry and future applications
They acknowledge that various companies are already working on these technologies, each with different strengths and weaknesses.
The increasing demand for anti-drone technology is set to create opportunities for defence manufacturers, particularly in the realm of highpowered lasers.
“I am aware that several companies are already engaged in building directed energy systems, each with its own strengths and weaknesses,” said Davis.
“Each will likely serve different use cases and purposes. The field will continue to evolve as directed energy technology advances more broadly.”
Brigadier Davis envisions a future where highpowered lasers become a standard feature in defence applications, with their integration extending across all platforms.
In a Defence context, a “platform” refers to any type of vehicle or system designed to carry and deploy various technologies or equipment.
This includes air vehicles such as helicopters and uncrewed aerial systems (UAS), as well as ground vehicles like tanks, trucks, and specialised
equipment such as Bushmaster Protected Mobility Vehicles.
“As these technologies continue to shrink in size and reduce in power consumption, I expect we’ll see them integrated across a wide range of platforms,” said Davis.
“In the future, I wouldn’t be surprised if they even make their way onto airborne platforms.
“Just as we’ve mounted machine guns on nearly everything, we’ll likely do the same with lasers.”
As Brigadier Davis explains, the natural evolution of defence suggests that Australia might soon see lasers mounted on its own naval vessels.
“This cycle of advancement and countermeasures is a constant,” he said.
“Just as we have historically sourced a variety of machine guns from different suppliers, I anticipate that we will similarly acquire a range of laser systems from various providers.”
Ultimately, as drone technology continues to evolve and become more widespread, directed energy weapons like the FRACTL laser are emerging as a forward-thinking solution to maintain a competitive edge in defence.
With drones playing an increasing role in industries worldwide, innovations like the FRACTL laser demonstrate how technology is rapidly advancing, blending futuristic concepts with practical, realworld applications in today’s defence strategies.
AUSTRALIAN MADE DIESEL GENERATORS
The state of Australia’s defence manufacturing SPECIAL REPORT: DEFENCE MANUFACTURING TRENDS
The evolution of Australia’s defence expenditure from 1949 to 2023 reveals a story of growth, with recent years showing dramatic increases. Phillip Hazell reports.
Australia’s journey toward becoming a military power began in the post-war era. In 1949, just a few years after World War II, Australia’s defence expenditure stood at AUD $114 million.
By 1958, Australia’s defence expenditure had jumped to AUD $406 million – a 256 per cent increase.
This leap mirrored Australia’s growing role on the world stage, particularly during the Cold War, as the country became increasingly involved in international peacekeeping and regional security efforts.
The latter half of the 20th century saw Australia’s defence spending continues to rise, driven by both global and regional concerns.
By 1987, Australia’s military budget had surpassed $2 billion, marking a pivotal point in the nation’s defence evolution.
Today, Australia’s defence posture is undergoing yet another transformation. Programs like AUKUS emphasise a shift towards more technologically advanced and globally integrated defence strategies.
As the nation positions itself to counter regional
challenges and secure its future in an increasingly interconnected world, its military spending has reached unprecedented levels.
By 2023, defence expenditure had soared to over $50 billion, and, according to SIPRI, Australia was ranked 13th in global military expenditures during this time frame.
As the Government’s National Defence Strategy would suggest, there is no inclination that Australia’s defence spending will slow down.
The strategy outlines plans to develop a more lethal
Bushmaster armoured vehicles being loaded onto an RAAF C-17, showcasing Australia’s focus on strengthening rapid-response and sovereign defence capabilities.
Navy, optimise the Army for littoral operations, enhance the Air Force’s capabilities, strengthen cyber defences, and integrate space operations.
The government has allocated an additional $50.3 billion over the next decade to enhance Defence capabilities and support the National Defence Strategy.
This includes $11.1 billion for accelerating Navy’s surface combatant fleet and expanding shipbuilding, $1 billion over four years for investments in targeting, long-range fires, logistics, fuel resilience, and autonomous systems, and $38.2 billion to support the rebuilt Integrated Investment Program (IIP).
During 2022-2023 alone, it contributed $10.6 billion in Gross Value Added (GVA), employing over 64,000 people, and involving 5,544 businesses.
After the release of the Strategy, the Minister for Defence Industry, Pat Conroy, emphasised that the
increased spending is in line with the government’s vision for enhancing Australia’s sovereign capabilities and supporting domestic industry.
“In rebuilding the IIP, the Government is delivering the capabilities the ADF needs to make Australians safer while simultaneously boosting our sovereign defence industry to create jobs and ensure a future made in Australia,” Conroy said.
However, despite the growth in Australia’s defence sector and increased defence expenditure, it still represents a small percentage of total government spending.
From 1988 to 2023, Australia’s military expenditure as a percentage of government spending steadily declined from 7.0 per cent to around 5.1 per cent, reflecting a shift in priorities toward domestic areas like healthcare and education.
This decline suggests that defence became
a relatively smaller part of the overall budget as Australia experienced regional stability and focused on economic growth.
A snapshot of global defence manufacturing
Current data illustrates the dominance of U.S. firms in the global arms industry, with the top five positions held by American companies.
Leading the pack is Lockheed Martin, securing the top spot with US$59.39 billion in arms revenue, which accounts for 90 per cent of its overall income.
Raytheon Technologies follows in second place, generating $39.57 billion from arms sales, making up nearly 60 per cent of its total revenue.
Boeing, in third place, brought in $33.39 billion from its defence division, though military contracts form a smaller part of its broader operations.
Northrop Grumman and General Dynamics round out the top five, each with over $30 billion in arms revenue, cementing the U.S. firms’ grip on the defence market.
The key takeaway from the data is the influence of American companies in the global arms trade, underscoring the U.S.’s leading role in both defence production and international military sales.
Although the United States dominates global arms manufacturing, Australian company, Austal Limited, has made it into the top 100, ranking 91st in terms of revenue among all arms manufacturers globally.
Austal, while Australia-based, is a global shipbuilding company and defence prime contractor, specialising in the design, construction, and support of both defence and commercial vessels.
The company recently secured a $670 million contract from General Dynamics Electric Boat to
expand its mobile shipyard, constructing a new facility to support U.S. Navy submarine production, expected to create up to 1,000 jobs and be completed by 2026.
What does Australia manufacture?
Australia manufactures a range of defence goods, focusing on naval vessels, armoured vehicles, aerospace systems, and munitions.
Key products include the Hobart-class destroyers, Arafura-class patrol vessels, Bushmaster and Hawkei armoured vehicles, and the Boxer combat reconnaissance vehicle.
The country also contributes to aerospace projects like the F-35 sustainment and develops unmanned aerial vehicles (UAVs).
In addition, Australia produces small arms ammunition, radar and electronic warfare systems, and is enhancing capabilities in missile
manufacturing under the Guided Weapons and Explosive Ordnance initiative.
Australia’s defence industry also supports cybersecurity, communication systems, and personal protection equipment, with a focus on growing domestic capabilities.
While precise figures pertaining to arms production can be unreliable, arms exports can paint a more reliable picture.
Australia’s defence export data reveals notable fluctuations in various categories over the years, with ship exports reaching a peak in 2019, when 291 vessels were sold, marking the highest export figure in the dataset.
Aircraft exports also experienced strong surges in recent years, particularly in 2020 and 2021, with 120 and 105 units, respectively.
Armoured vehicle exports remained modest but steady, peaking at 23 in 2023.
In contrast, missile exports were relatively low and inconsistent, with only a few units recorded in select years.
Where does the Australian defence sector fit into the wider economy?
The data provides insight into the role of the defence industry in the economy between 2016 and 2021, offering a snapshot of its contribution over time.
Covering the period from 2016-17 to 2020-21, the figures illustrate both the defence industry’s share of the total economic output and the overall economic performance.
The defence industry’s share of gross value added (GVA) remains relatively modest but consistent, fluctuating between 0.38 per cent and 0.44 per cent during this time.
This percentage indicates that while the defence sector makes up only a small portion of the economy, its contribution has been steady, with slight growth by 2020-21.
Source: Australian Bureau of Statistics
Australia strengthens naval power with advanced surface combatants and submarines, driven by the AUKUS agreement.
Meanwhile, the total economy’s gross value added shows a clear upward trajectory, increasing from $1.64 trillion in 2016-17 to nearly $2 trillion in 2020-21.
This rise reflects broader economic growth during the period, with the defence industry continuing to contribute a stable share.
In 2022-23, the three largest contributors to defence industry GVA were professional, scientific, and technical services (45.2 per cent), manufacturing (15.4 per cent), and construction (15.0 per cent).
The steady percentage suggests that as the economy grows, so too does the absolute value contributed by the defence sector.
Defence GVA by state
In 2022-23, the Australian defence industry saw varied contributions across states and territories, with different sectors playing key roles in each
region’s economic output.
Professional, scientific, and technical services dominated the defence industry’s Gross Value Added (GVA) in most states, with New South Wales leading at $1.35 billion, followed by the Australian Capital Territory at $1.12 billion, and South Australia at $956 million.
Manufacturing and construction also played important roles in select regions, reflecting the diverse industrial landscape supporting Australia’s defence capabilities.
Note: Some data pertaining to the Northern Territory and Tasmania is not publicly available due to confidentiality requirements.
However, the picture is more varied when looking at the role of other industries.
In Western Australia, manufacturing emerged as the largest contributor to the state’s defence GVA, with $177.4 million, surpassing other sectors like
professional, scientific, and technical services ($94.1 million).
This highlights Western Australia’s focus on industrial production within its defence sector. Similarly, construction played a pivotal role in the Northern Territory, contributing $27.4 million to defence GVA, significantly more than other sectors. This contrasts with other states, where construction made smaller contributions relative to other industries.
In New South Wales, while manufacturing contributed $425.9 million to defence GVA, It was smaller in comparison to the $1.35 billion contributed by professional, scientific, and technical services.
South Australia followed a similar trend, with manufacturing contributing $546.4 million, still lower than the $956 million from professional, scientific, and technical services.
SECOS Group’s MyEcoBag produces compostable alternatives to plastic bags, aiming to replace conventional plastics.
MyEcoBag, a Melbourne-based manufacturer, produces certified compostable alternatives to traditional plastic bags using biopolymer technology.
As one of the first companies in Australia to secure certification for compostable products, it supplies retailers and local councils.
MyEcoBag’s environmental credentials include certifications for composability in Australia, Europe, and North America.
Its products meet standards, such as biodegradability, absence of heavy metals, and ecotoxicity tests, ensuring they are safe for the environment.
The products are also certified by the Australian Bioplastics Association and the Biodegradable Products Institute, among others.
Additionally, the company holds a Silver Medal EcoVadis Sustainability Rating for its efforts in reducing waste, carbon emissions, and improving energy efficiency.
MyEcoBag products include bin liners, as well as shopping, pet waste and produce bags – all aimed at reducing plastic waste, diverting organic waste and promoting sustainability.
As Richard Tegoni, CEO of MyEcoBag, explained, the company’s values are driven by environmental targets and outcomes.
“Our values focus on integrity and putting the environment first,” he said.
The company was recently approached by a local government council to produce paper bags, and although they had the capability to source them, they refused.
“The reason is that most compostable paper bags contain some element of heavy metals or require lining with materials to prevent leakage, especially with wet food,” he said.
“Without this, they become essentially useless. We refused to quote for that business because maintaining our integrity is crucial to us.”
The company was formed through a merger
between Cardia Bioplastics and Stellar Films in 2015.
Cardia Bioplastics, a publicly traded entity, specialised in developing biopolymer technologies designed to replace traditional plastics.
Stellar Films, a privately held company based in Victoria, focused on producing hygiene films for applications such as nappies and other sanitary products.
The merger brought together Cardia’s innovative biopolymer technology with Stellar’s established manufacturing expertise, creating a synergy that allowed for the development of sustainable, highquality products.
“The idea was that Stellar would bring its expertise and know-how to commercialise Cardia’s biopolymer technology – a strategy that proved to be quite successful,” said Tegoni.
MyEcoBag was officially launched in 2019, following years of product development and certification.
Tegoni explained that achieving the required quality
MyEcoBag’s compostable bags break down naturally, providing an eco-friendly alternative to conventional plastics, as shown here in an active compost setting.
Images:
MyEcoBag
for their compostable bags took time.
“It went through a long period to get the quality right, so that we could manufacture a compostable bag at the level of quality that was required to hold food waste and make sure it didn’t break or leak.”
Since the merger, SECOS Group has committed to sustainability, divesting its traditional plastic manufacturing assets.
“Since the merger, SECOS Group has sold off or divested all of its traditional plastic manufacturing assets and businesses, and we’re now at 100 per cent sustainable business throughout the world,” said Tegoni.
With more than 40 per cent market share and products sold in 25 countries, the company has since continued to expand its footprint in both the local and global markets.
Its mission remains the same, which is to combat conventional plastic waste, which is a growing concern in industries domestically and internationally.
The problem
Specific to Australia, the country is grappling with a plastic waste challenge, with one million tonnes of plastic consumed annually, 84 per cent of which ends up in landfills.
This issue is exacerbated by an additional 130,000 tonnes of plastic leaking into marine environments each year.
Some landfills in several regions in Australia are predicted to reach capacity within two to three years.
These plastics will eventually break down into microplastics which can harm marine life, enter the
food chain, pollute environments, and pose potential health risks to humans and ecosystems.
“It’s interesting because plastic can extend the shelf life of food. Plastic companies argue that this helps the environment by reducing food waste, which is true to an extent,” explained Tegoni.
“However, if we could use a compostable version, we’d not only extend the food’s life but also reduce plastic waste and avoid microplastics.
“It’s concerning how much microplastic ends up in our bodies, as almost everything we touch or eat is wrapped in plastic.”
The solution?
To combat these growing waste challenges,
councils around Australia implemented the Food Organics and Garden Organics (FOGO) initiative.
The FOGO initiative is part of Australia’s national target to divert 80 per cent of waste from landfills by 2030.
The expected benefits include the production of 3.6 million tonnes of compost and a reduction of seven million tonnes of CO2 emissions annually.
Additionally, the program is set to generate over 8,000 new jobs and increase carbon content in soil.
Soil carbon enhances fertility, water retention, microbial activity, nutrient cycling, and structure, supporting plant growth and climate resilience.
Penrith City’s adoption of FOGO in 2009 highlights the potential benefits of such initiatives.
Leading MyEcoBag’s mission, CEO Richard Tegoni is committed to sustainability and ensuring environmentally friendly products.
Richard Tegoni inspects the advanced biopolymer production machinery used to create compostable products at their facility.
MANUFACTURER FOCUS
The council saw an increase in waste diversion, with landfill waste diversion went from 20 per cent up to 61.5 per cent.
MyEcoBag has been working closely with councils across Australia to help their targets.
In the past six years, MyEcoBag has sold 500 million compostable bags globally, replacing approximately 3.3 million kilograms of conventional plastic.
According to Tegoni, incorporating compostable bags into these Council programs can reduce the amount of organic waste sent to landfill by 30 per cent. He is urging more councils and residents to adopt the use of these bags to help achieve these sustainable outcomes.
“The cost to our planet, our councils and our ratepayers when FOGO material isn’t properly disposed of is extremely significant,” he said. MyEcoBag’s ability to play a part in reducing these costs, particularly to the planet and the future generations yet to enjoy it, is a huge driver for the company.
“Compostable bags not only greatly improve organic waste programs, but they also replace all conventional plastic bags rendering programs like the old RedCycle scheme mostly unnecessary.” He said. “If used properly, they have the potential to remove millions of tonnes of plastics and microplastics from our environment.”
Output capability
MyEcoBag operates from three manufacturing plants – two in Malaysia and one in China – with plans to expand its footprint locally in Australia.
While the company doesn’t directly manufacture in Australia, the company is in discussions with the Victorian government and other potential partners to explore local manufacturing options.
“We’ve been in discussions with the Victorian Government about the possibility of manufacturing locally in Australia, given our significant presence here,” said Tegoni.
The biopolymer materials used in its products, primarily made from corn starch, are compostable and meet global certification standards.
Tegoni highlighted that MyEcoBag is vertically integrated, handling everything from the production of biopolymer resin to the manufacturing of finished compostable products.
With a workforce of about 160 employees, most of whom are based overseas, the company also operates a Research and Development (R&D) Centre in Melbourne.
“Our head office is in Melbourne, but most of our
operations are overseas,” said Tegoni.
“We have about 15 people in Australia, primarily in research and development, with our R&D centre based in Melbourne.
“Our sales offices are located in Malaysia, China, the US, and Mexico, while the majority of our staff work at our manufacturing plants in China and Malaysia, where the production of our bags takes place.”
The R&D team is focused on creating new biopolymer products and works in collaboration with universities and research organisations, such as RMIT, as part of the Federal Government’s Cooperative Research Centre (CRC) for Solving Plastic Waste program.
“Currently, we are working on several new products, such as stretch wrap and pallet wrap, which we plan to launch over the next year,” said Tegoni.
A distinction of polymers
What makes MyEcoBag’s products unique relative to conventional disposable bag manufacturers, is the materials that are used to produce the bags.
MyEcoBag’s compostable products match the durability of traditional plastic, but unlike petrochemical plastics, they biodegrade safely without producing harmful microplastics.
“The materials we use are all compostable,” said Tegoni.
“Our MyEcoBag includes corn starch and other compostable ingredients that can safely decompose into the soil.
“They’re regulated by local compostable certification bodies. You can actually create a polymer from many organic materials – corn, sugar, even waste through a fermentation process.”
As Tegoni explained, the core of the technology involves stabilising the polymer and enhancing its performance qualities to suit the requirements of a finished product.
“That’s where the focus is, rather than the material itself,” he said.
“There’s often confusion because, technically, conventional plastic comes from organic materials like petroleum, which is organic since it comes from the ground.”
Most conventional plastics are made from petrochemical polymers, which are widely linked to environmental issues.
When petroleum-based plastics break down, they don’t turn back into soil but rather leave microplastics,” said Tegoni.
“They degrade over an extremely long time and eventually form microplastics, which are hazardous.
“On the other hand, a polymer made from corn starch will biodegrade without leaving behind harmful microplastics. That’s the key difference.”
As Tegoni explained, these compostable bags don’t have to compromise in structure or durability.
“Both are very durable,” he said.
“We can make bags thicker for added strength, but overall, the performance of our MyEcoBag’s is comparable to a conventional plastic bag.
“In fact, we’re now developing reusable compostable shopping bags, like the thicker reusable bags you see in supermarkets which are currently made of paper, or conventional plastic.”
MyEcoBag has also launched a compostable, reusable checkout bag through Ritchies supermarkets, which is being rolled out now.
“We believe they’re just as strong and reusable as traditional options,” said Tegoni.
“The key difference is, when these compostable bags wear out after repeated use, they can be composted rather than becoming waste like conventional plastic bags.”
MyEcoBag is now focused on expanding into North and Latin American markets with its new range of compostable products.
The company aims to offer globally compostable solutions and reduce environmental impact by partnering with waste management and composting services.
This strategy positions MyEcoBag to meet growing demand for sustainable alternatives and drive progress towards a circular economy.
A MyEcoBag R&D engineer works with cutting-edge equipment, helping to create biopolymer products that meet global environmental standards.
Our manufacturing potential is latent
Recently, I penned a short article on Australian manufacturing and its latent potential. It correlated with the 10th anniversary of a foundational piece of research delivered by McKinsey & Company titled “Compete to Prosper”.
This 2014 report, which is still available to download, identified where Australia’s hidden potential should be developed to better equip manufacturers for global competition.
Its message was ambitious yet reasonable. Australia, including its advanced manufacturing community, should double down on areas of strength, acknowledging the “remarkable opportunities” in being good enough to be in demand internationally, and embracing the benefits of emerging technologies: “These forces can either be harnessed as opportunities or endured as threats… they create the opportunity for another period of sustained growth.”
Interestingly, there is another 10th anniversary worth exploring. In 2014, IBISWorld published its Top 100 Manufacturers in Australia. It included
ownership data – foreign or local. This list contained an impressive line-up of manufacturers, ranked by revenue – resembling the who’s who of the ASX.
However, its message in this year’s release is mixed. No longer is ownership data shared, which may be a simple omission, but it is easy to spot the international ownership in Australian manufacturing.
The current IBIS list, which can also be downloaded as part of October’s Manufacturers’ Monthly, shows a considerable proportion of Australia’s large sized manufacturers being under foreign control.
This draws us to a Future Made in Australia. A timely promise from the Australian Government to “maximise the economic and industrial benefits of the move to net zero and securing Australia’s place in a changing global economic and strategic landscape.” An auspicious and audacious move alike, given our latent potential and foreign investment. Currently, Australia supports global markets in many ways. According to the Reserve Bank of Australia in its 2024 Composition of the Australian Economy, the Resource Sector accounts for over 60
per cent of exports – manufacturing represents just eight per cent.
The large slice of our economic pie comes from raw commodities, minerals extraction, and food production leaving value-adding activities of manufacturing behind. That value-add piece is Australia’s latent potential – and why we do not see more, medium- to large-size manufacturers in the higher ranks of IBISWorld Top 100. We simply do not invest enough in growing Australia’s manufacturing capability.
It is unnecessary in economic terms for our nation which grows enough produce to feed 75 million people, to import more food by value than we export. Yet, the Australian Food and Grocery Council finds that Australia exports $39.4 billion worth of food and imports $46.4 billion worth of food products – valueadded products for which Australians pay a premium, because who wants raw vegetables, grains, or meat.
For almost a decade, the Advanced Manufacturing Growth Centre’s (AMGC) mission has been to unlock manufacturing’s latent potential and to help these
JENS GOENNEMANN, MANAGING DIRECTOR, AMGC
Australia’s transition to renewable energy relies on harnessing wind power to drive sustainable manufacturing growth.
businesses scale. It was established the year after Compete to Prosper was published as a result of its influential clarion call.
The response from the then-government was to establish five Industry Growth Centres, including AMGC, to tap into, with a modest budget, the actual or latent economic opportunities. Then, as now, murmurs of “picking winners” could be heard. A bipartisan and enduring position is that all resources are finite and are best deployed where they are likely to yield results.
Since its earliest days, the AMGC team sees its most impactful contribution, in addition to putting manufacturing back on the map, to be its industry-led co-investment strategy. The results are remarkable: 4,000 new jobs and $1.62 billion in additional revenues from just $50 million in taxpayers funds spread across 150 promising
manufacturers – an ROI of 25:1. Such measurable outcomes have kept manufacturing – and AMGC – relevant across changes of government at the federal, state, and territory levels because you can’t ignore the numbers.
As the nation seeks to find its place in a world transitioning away from fossil fuels and determined to address other weighty issues, the ability to make things, add value to what can be found on the ground, under the ground or otherwise, will be the critical capability that defines the opportunities afforded to generations of Australians.
The roadmap must include a concerted effort by the four principal stakeholders of any national success: industry, government, research, and the public service. Interconnectedly, these roles ensure stability and prosperity of Australia with manufacturing as a driver of good, high-value jobs
and income generation – only achievable through making complex things the rest of the world wants to buy and not only us just because it’s “proudly made in Australia”.
The opportunity is best exemplified by AMGC alumni and ASX unicorn Alpha HPA. This Queensland-based manufacturer is on track to become a key supplier of high purity alumina, an essential ingredient in lithium-ion batteries, LED lighting, ceramics, and medical devices for global clients. By enhancing aluminium oxide through a proprietary process that is 70 per cent more energy efficient, Alpha HPA can sell its products for $35 per kilo, compared to just 35 cents for standard aluminium oxide. This innovative approach boosts profitability and is set to create 300 new jobs onshore. Remarkably, just five years ago, when Alpha HPA first partnered with AMGC, the company had fewer than 10 employees.
As the Prime Minister, Anthony Albanese has said “If we hang back, the chance for a new generation of jobs and prosperity will pass us by – and we’ll be poorer and more vulnerable as a consequence ”.
Alpha HPA’s journey is proof it can be done with the right mechanisms in place. For Australia to miss out on its competitive advantage from adding value to our abundant resources or making other smart things would mean seeing our brightest industries move offshore – well before they have an opportunity to enter any future IBISWorld list.
It would be foolhardy to lose another decade when we know manufacturing is the answer to a Future Made in Australia.
Innovative Australian manufacturing integrates drone technology for precision agriculture, boosting efficiency and sustainability.
Caption
ASSOCIATION
Business costs impact living expenses
It is well known that manufacturing is a critical contributor to Australia’s industrial ecosystem. There are 90,000 manufacturing businesses in Australia, which employ around 900,000 workers. It is the sixth largest industry in Australia and produced $124 billion worth of value-add last financial year.
However, less understood is the role manufacturing plays in positively contributing to cost-of-living issues during the recent period of high inflation in Australia. Our manufacturers directly make the goods used by Australian households – food, beverages and consumer durables – and indirectly contribute by producing the industrial inputs used across the economy.
The inflationary pressures facing households can often be traced back to cost pressures on industry. An informed discussion of the cost-of-living crisis must start from the recognition that inflation strains both business and households alike.
The dramatic increase in consumer prices over recent years has increased financial stress on many households. Pressure has been especially high on mortgagee and renting households, which have had to manage surging home loan repayments or rents. However, industry has equally suffered from the pain of high inflation. Producer prices – the price of goods and services used and made by industry – have risen by a similar magnitude to consumer prices. Indeed, producer prices are currently rising at the rate of 4.8 per cent per annum, faster than the current 3.8 per cent rate for CPI.
If we look at the recent experience of manufacturing, it is clear that surging costs have imposed a heavy burden. According to official price surveys, the inputs used by manufacturing have increased by 20 per cent in price over the last three years. Some of the inputs which have seen the most dramatic increases include:
• Ferrous metals products (i.e. steel), up by 35 per cent;
•Electrical equipment, up by 40 per cent;
• Non-ferrous metals (including aluminium), up by 49 per cent;
•Basic chemicals, up by 51 per cent; and
• Natural gas – the energy source which underpins much of Australian manufacturing – up by a massive 58 per cent.
Never before have our manufacturers had to contend with such a dramatic and sustained rise in prices for material inputs.
So too have employment pressures weighed on the industry. Australia’s labour market – which has not been as tight since the mid-1970s – poses further challenges.
Over the three-year inflationary period, average wage rates in manufacturing have risen by 11.5 per cent. This is the highest increase of any industry in Australia.
There are presently 17,000 unfilled jobs in manufacturing, up from 11,000 just before the pandemic. An excess of empty jobs means chronic continuity problems on the shop floor, compounding cost pressures.
Recruitment difficulties also bedevil the industry. In the June quarter of this year, 63 per cent of recruiting manufacturers reported difficulties in filling advertised roles. This is the highest recruitment difficulty rate of any industry and exceeds that reported by constructors – an industry with widely known hiring challenges.
These supply chain and employment pressures have led to a squeeze on manufacturer margins. Manufacturing is highly exposed to competition from imports, and often cannot fully pass on rising costs. This leaves many manufacturers more exposed to cost pressures than most other branches of industry.
In the 2022-23 financial year – the most recent for which sub-industry figures are available –operating margins in Australian manufacturing fell from 8.8 per cent to 7.9 per cent, with nine of thirteen subindustries reporting declines. The three manufacturing subindustries that are directly oriented to consumer markets – food, beverages and TCFs – all saw significant margin declines.
Our manufacturers are feeling the pinch of inflation in the same way as consumers. Indeed, had consumer-oriented manufacturers increased their prices faster to protect their margins, Australia’s cost of living issues would have been even worse.
This points to the need for a new discussion in Australia on how to best manage these pressures. Attempts to play the blame game, and scapegoat certain businesses or industries, fail to recognise that high inflation hurts households and businesses alike. A more productive approach is to address the root causes for price rises across our economy as a whole.
Addressing workforce issues is an important place to start. Skills shortages, unfilled jobs and high wages growth all drive extra cost into the industries that supply goods and services to Australian households. A more efficient, flexible and balanced labour market would go a long way to easing these pressures.
Yet the Government’s recent legislative changes to the industrial relations system are moving in the wrong direction. Whether for casual employment, labour hire, digital jobs and more besides, these reforms have introduced rigidities which raise cost and make life harder for employers – to say nothing of their impact on productivity, or our competitiveness in a more challenging global economy.
Cost of doing business pressures are making our cost of living crisis worse. It’s time that we take a mature and holistic approach to fighting inflation that helps both industry and households alike.
Rising material costs, including steel and aluminium, present challenges for Australian manufacturers to navigate.
DECISION MAKER COLUMN
An American’s perspective on Australian manufacturing
I’m an American who recently relocated to a regional beachside location in Australia, to lead engineering for an electrolyser company on the journey towards mass manufacturing. I spent decades moving between high tech engineering in places like Silicon Valley and factories in Japan, China and Thailand. But Australia is a whole new experience and the clear comparative advantage for climate transition that this country holds is incredibly exciting to see.
Nowhere have I witnessed the same sense of purpose that we share in commercialising groundbreaking climate technology to accelerate the world’s transition to net zero.
It starts with world-leading potential to produce renewable energy from solar and wind. Australia has established infrastructure, strong trade partnerships, and talent to support new industries. Australian universities are at the cutting edge of new innovations. The capillary-fed electrolyser we are commercialising was born at the University of Wollongong many years ago.
Obvious challenges exist here. Labour costs are high and Western Pacific countries like China have extensive supply chains. However, by utilising the smart and innovative approach of Australian manufacturers, success is achievable. The high differentiation and efficiency of Hysata’s technology, combined with its low capex and a mass manufacturable design, are key to our strategy. A startup company has the rare benefit of its opportunity to integrate design and manufacturing from the outset and deliver the production efficiency and quality needed for international competitiveness.
Worldwide, things are heating up and Australian climate tech companies face fierce competition from the US, China and Europe. It’s great that the Federal Government recognises that Australia’s comparative advantage needs to be quickly converted. The Future Made in Australia policy is an important step in the right direction – renewable hydrogen and clean energy manufacturing are declared in the national interest.
For success, we need to keep moving in this positive direction, utilising the intersection of technological advancement, government support, skilled labour and efficient manufacturing techniques, which are key to keeping us all in the race.
And these core foundations for design and manufacturing remain key for all high-tech manufacturers.
Meet Hysata’s leaders: (from left to right) Gerry Swiegers, Scott Abrahamson, Paul Barrett, Tom Campey, and Leanne Isabella.
Hysata’s facility at Port Kembla, strategically located for mass electrolyser production and renewable energy innovation.
Images:
Hysata
Integrated design and manufacturing
Simplicity in manufacturing design and process are a recipe for success. In product design, this means easily fabricated components that can be assembled without heavy reliance on complex assembly processes. At Hysata, we draw from simple high-volume approaches, such as those I learned while developing and manufacturing products such as disk drives and phones, which are produced in the millions of units per day, at high yields.
With the huge, expected future demand for electrolysers, simple, widely available supply is also critical. Our product is designed to not rely on rare materials commonly used in incumbent technologies. Instead, we use earth-abundant materials.
Automation is important for quality and repeatability. Selecting and training the right skilled workforce to operate and maintain these manufacturing systems is key to success.
Positive team culture
Innovation thrives in supportive work environments. Nothing is more motivating to a climate tech startup than our common, shared vision filled with purpose. And creativity is fostered by our collaborative spirit. Positive cultures celebrate inclusivity, diversity and provide career progression – and they provide employee engagement, satisfaction, collaboration and team problem-solving. It also doesn’t hurt if you can head to the beach across the road for a surf on your lunch break. In our case, this is a guaranteed morale booster.
Reliability and testing
High reliability is important for customer satisfaction and market viability. It is tied to design, manufacturing, and material selection. And it is discovered by testing. For high product quality, testing the output of each manufacturing step is key. Product reliability requires rigorous
testing, including accelerated life and margin testing, to identify and correct issues during development, before they become problems for our customers.
Analysis of data collected throughout manufacturing and field operation enables better quality control and predictive maintenance, leading to enhanced efficiency and field reliability.
Australia’s for the taking
Looking ahead to 2030 and 2050, we will have either achieved or missed the mark. Technologies will evolve, and there will be new breakthroughs in response to challenges that we encounter. We will develop new skills, and manufacturing will continue to evolve with technology. Through it all, the building blocks of culture, simplicity and striving for reliability will remain foundational. We hope today’s progress will lead to a legacy for us all to be proud of when the world looks back at the transition to net zero.
Scott Abrahamson overseeing manufacturing at Hysata’s Port Kembla electrolyser facility.
WHAT’S NEW
iBase’s AGS104T ultra-compact IoT gateway edge computing system
Backplane Systems Technology is pleased to present iBase’s AGS104T. The AGS104T is the latest addition to IBASE’s IoT gateway lineup, powered by Intel Atom x7433RE and x7211RE processors (formerly known as Amston Lake). Designed specifically for demanding industrial environments, this fanless gateway computer boasts an extended operating temperature range of -40°C to 70°C, making it an ideal solution for critical IoT deployments.
Building on the strengths of its predecessors, the AGS104T supports up to 16GB of DDR5-4800 memory, ensuring high-speed data processing. It features dual 2.5G Ethernet ports, versatile COM ports (RS232/422/485), and expansion options through M.2 and Mini PCI-E slots. For added security and reliability, it comes equipped with
TPM 2.0, a wide-range 9V~36V DC power input with comprehensive voltage protections, and GPIO 4-in/4-out for enhanced control functions.
Compact and flexible, the AGS104T supports both DIN-rail and wall-mount installations, offering a wide range of I/O interfaces, including HDMI, DisplayPort, and USB 3.2. These features make it suitable for various industrial applications. Like all IBASE products, the AGS104T is engineered for long-term reliability and high performance, reaffirming IBASE’s commitment to delivering innovative IoT solutions.
Key features:
•Fanless system with IBASE MBE104T proprietary board
•Intel® Atom® x7433RE/x7211RE Processors
(Amston Lake platform)
•HDMI & DisplayPort, USB Type-C (For DP & USB 3.2), GPIO 4-in/4-out
•1x M.2 B-Key 3052, supports 5G/4G/LTE module
•1x M.2 E-Key 2230, supports WiFi/BT, 1x full-size Mini PCI-E for mSATA
•2x 2.5G LAN port, 3x USB 3.2, 1x USB 2.0, 4x COM (RS232/422/485)
•9V~36V DC wide-range power input
•Supports over/under/reverse voltage protection
•Wide-range operating temperature from -40°C to 70°C
•Supports DIN-rail mount, wall mount & TPM 2.0
Company: Backplane Systems Technology
Phone: 02 9457 6400
Website: https://www.backplane.com.au/
ICP’s DAS UA-7231M IIoT communication server
ICP Electronics Australia is proud to introduce ICP DAS UA-7231M. The ICP DAS UA-7231M is an Industrial IoT (IIoT) Communication Server designed to bridge the gap between IT and OT systems in industrial environments. Housed in a sturdy metal case, it features a Power over Ethernet (PoE) port and a serial port for versatile connectivity.
A standout feature of the UA-7231M is its ability to simultaneously support OPC UA and MQTT protocols, providing a flexible communication solution. It comes with an integrated MQTT broker, including WebSocket support, ensuring seamless data exchange. The server also incorporates robust security measures, such as HTTPS communication encryption and blocklist functions, safeguarding data integrity.
The UA-7231M serves as an IIoT gateway, enabling remote access to I/O modules and controllers using Modbus TCP/RTU/ASCII, MQTT, and EtherNet/IP. It can convert these I/O data into OPC UA or MQTT protocols, making them compatible with systems like MES, ERP, SCADA, and cloud services. The data logger function allows direct writing of I/O data into remote databases and local storage for historical records.
Compatible with leading cloud platforms like Microsoft Azure, AWS, and IBM Bluemix, and supporting IFTTT logic for app notifications, the UA-7231M simplifies IIoT deployment, enhancing operational efficiency.
Key features:
•Simultaneous Writing for Remote Database and Local Data Logger
•Offline Data Recovery Mechanism for Remote Database
•Support to Enable OPC UA and MQTT at the Same Time
•MQTT Broker (Including WebSocket)
•Support a Complete Information Protection Mechanism
- HTTPS, Communication Encryption, Block List
•IoT Cloud Platform Connection
- Microsoft Azure, Amazon Web Services, IBM Bluemix, Alibaba Cloud
•IFTTT Logic Control Triggers the APP
Notification Function
•PID Logic Operation Function
Company: ICP Electronics Australia
Phone: (02) 9457 6011
Website: icp-australia.com.au
Master ASME B31.3 with expert Jim E. Meyer
Understand how to easily apply and implement the quality requirements defined in the ASME B31.3 Code with Weld Australia’s three-day course in December 2024.
Facilitated by US expert, Jim E. Meyer, a new course is being presented that will provide an introduction to the ASME B31.3 Process Piping Code. It covers the requirements of B31.3 for design, analysis, materials, fabrication, testing and inspection of process piping systems. It explores the rules for various components including fittings, connections, bends, valves and specialty components
Other topics include dimensions and ratings of components, fluid service requirements for joints, piping flexibility and support, welding, heat treatment, bending and forming, brazing and soldering, assembly, erection, examination and inspection.
This course is designed for engineers, managers and quality personnel who are involved in the design, manufacturing, fabrication and examination of process piping that is being built to the requirements of US Codes and Standards.
The course will cover:
•Introduction to B31.3
•B31.3 Scope and Definitions
•Design Considerations and Criteria
•Pressure Design of Piping Components
•Design:
•Fluid Service Requirements and Standards for Piping Components Standards
•Fluid Service Requirements for Piping Joints
•Flexibility and Support
• Systems
•Bellows Expansion Joints
• Materials
•Fabrication, Assembly and Erection
•Inspection, Examination and Testing
About the Presenter: Jim E. Meyer
Jim E. Meyer has more than 45 years of experience in refining petrochemical, chemical, power generation, and industrial facilities. He is a principal engineer at CDM Smith, a full-service
engineering and architectural firm, located in Wadsworth Ohio. Meyer is experienced in overall project coordination and management, pressure equipment, piping design, analysis, specifications, support design, mechanical system requirements, and documentation requirements. His technical competence includes ASME piping and pressure vessel codes, stress analysis, field troubleshooting piping system support, vibration, and expansion problems.
Jim is a member of ASME and has been involved in the ASME B31.1 and ASME B31.3 Section committees for over 40 years. Most recently, Jim co-authored chapters in the ASME Boiler and Pressure Vessel Companion Guide (5th Edition), covering the ASME B31.1 Power Piping Code and the B31.3 Process Piping Code. Past projects and work experience have involved major oil refineries, petrochemical plants, fossil, nuclear, solar, and alternative energy generation, as well as cryogenic and vacuum test facilities.
