The Australian shipbuilder that survived an industry-wide collapse
In short: In the late 1990s, the global market for large, high-speed catamarans crumbled. While most shipyards abandoned the niche, two companies endured. Today, Austal stands as a global defence prime, building everything from high-speed US Navy transports to patrol boats for the Australian Border Force.
The modern ferry industry was transformed in the early 1990s by the arrival of large, high-speed catamarans. These vessels, featuring decks for vehicles, rapidly replaced older hydrofoil, hovercraft, and monohull services. However, this technological shift eventually led to a market where capacity exceeded demand, causing a widespread industry collapse by the end of the 20th century.
Austal, founded in 1988 by John Rothwell, was one of only two companies—alongside Hobart-based Incat—to survive this period. The company has since expanded into a global defence prime contractor, operating major facilities in Henderson, Western Australia; Mobile, Alabama; and Balamban, Philippines. Their expertise spans naval vessels, high-speed ferries, and specialized supply vessels for offshore windfarms and oil platforms.
The company's portfolio includes high-stakes military contracts, such as the US Navy's Littoral Combat Ship and the Spearhead-class Expeditionary Fast Transport (EPF). Although the EPF supports 300 Marines and 635 tonnes of equipment at 35 knots, engineers state it lacks protection against hostile fire. Beyond defence, Austal's reach extends to commercial operators like Condor Ferries and government agencies like the Australian Border Force.
Austal's growth has been marked by strategic acquisitions, including Oceanfast in 1999 and the North West Bay shipyard in 2007. While some ventures, like the North West Bay yard, eventually closed, the company continues to secure significant orders, such as the Evolved Cape-class patrol boats for the Royal Australian Navy, with subsequent orders placed in 2022 and 2023.
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Sources
- Summary by Intellect · source: Austal
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