Doubts grow over South Australia's submarine building future

The Federal Government has admitted defence needs could come before local jobs when a decision is finally made on the construction of Australia’s new submarine fleet.

Prime Minister Tony Abbott had guaranteed local submarine construction ahead of the last federal election, including 12 new submarines with ASC at Osborne.

But Defence Minister David Johnston has made it clear affordability is a priority over propping up the local industry.

“Certainly it is desirable that the new submarine would be built in Australia, but may I say and underline, itis not a blank cheque,” the minister said.

Job concerns amid reports about Japanese submarines

The Manufacturing Workers’ Union is concerned for local jobs.

“Where do people work? The two main employers are defence and Holdens, after that there’s not much more at the moment,” Colin Fenney from the union said.

The Government’s pre-election promise of building 12 submarines is no longer given, with purchasing off-the-shelf models from Japan another option on the table.

A decision is not due for at least another year, but there are already grave fears for thousands of local jobs.

“All they’ll need is an allen key in their tool box because it’ll be all about bringing it here and bolting it together,” Mr Fenney warned.

Defence Industries Minister Jack Snelling said long-term security was vital.

“The most important thing for South Australia is to have continuous build rather than this stop-start nature that we’ve had in naval ship building,” he said.

It comes as South Australian Premier Jay Weatherill prepares to join Tony Abbott in China on his Asian tour.