DroneShield announces research and manufacturing expansion
Australian defence equipment manufacturer DroneShield has announced it is making a more than $13 million initial investment in a new 3000 m2 production facility in Sydney’s Alexandria, expected to open in December 2025. This is in addition to a 2500 m2 R&D area in the company’s headquarters, expanding its own annual production capacity to $900 million by mid-2026 and planning for a combined total annual manufacturing capacity of $2.4 billion by the end of 2026.
The new facility, including advanced in-house production, testing and warehousing capabilities, is DroneShield’s largest to date and more than three times the size of its current production floor near central Sydney. The current production floor will be converted into an additional R&D area, resulting in a total R&D area of 5530 m2.
The announcement comes on the heels of DroneShield announcing it received a $61.6 million European contract in June, the biggest single order in the company’s history, which was followed by a $9.7 million Latin American contract and an $11.7 million Five-Eyes R&D contract. In line with the broader increase in military spending across the EU region, DroneShield has also announced its significant expansion into Europe, where it is planning to establish a European Centre of Excellence, including manufacturing and production facility, to support the continent’s domestic defence programs such as the €800 billion ReArm Europe Plan/Readiness 2030.
“In response to rising threats and multiple wars taking place across the globe, Australia’s allies are increasing investment in modern defence capabilities,” said Oleg Vornik, CEO of DroneShield. “We are stepping up to meet this demand by investing in state-of-the-art facilities here and abroad, and in sovereign Australian skills development to provide the most modern and effective counter-drone capabilities in the world. Our new facility in Alexandria will epitomise the value Australian engineering can bring to a changing geopolitical landscape.”
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