Boeing SA hub part of defence boom: Pyne

Marnie Banger
Boeing's new Adelaide office ready to open

Boeing's new office in Adelaide is part of the growth in Australia's defence industry that is helping to drive the national economy, Defence Industry Minister Christopher Pyne says.

Mr Pyne on Wednesday opened the aerospace giant's Adelaide hub, which will undertake research and development and create 250 jobs over the next five years.

The minister said it was one of many defence-focused offices he had opened in the past nine months as part of the expansion of Australia's defence industry.

That growth was reaping benefits for both the SA and national economy, he said.

"For the first time in living memory, defence industry showed up in the national accounts in the last quarter of last year as helping to drive the economy - larger than the National Broadband Network," he told reporters.

Mr Pyne said the federal government would spend $195 billion over the next 10 years to continue that growth.

"The largest peacetime build-up of our military capability in our history," he said.

The SA government is backing Boeing through its Investment Attraction South Australia and Defence SA groups, but has declined to reveal how much money the company has received.

Boeing's biggest presence outside of the USA is in Australia, with Queensland boasting the lion's share of the 3500 Australian jobs it maintains.

The company, which manufactures commercial airliners, military aircraft and defence, space and security systems, has 140,000 employees worldwide.