Australia and Germany are looking to deepen their defence cooperation as European nations warn about reducing dependence on the US as a security ally.
Defence Industry Minister Pat Conroy and German Defence Minister Boris Pistorius visited RAAF Base Amberley in Queensland on Friday, for a briefing on an Australian-designed drone.
Mr Conroy said deepening industrial collaboration would make both countries safer.
"It gets equipment into our militaries faster than it would otherwise be, and it's the definition of a win-win," he told reporters.
"This is about our sovereignty, our self-reliance and making more things here."
Chief of the Air Force Stephen Chappell took part in the high-level talks with the German delegation about Boeing's Ghost Bat drone.
Australia and Germany on Thursday announced they would look to set up a framework that would make it easier to host each other's militaries in their countries.
Speaking at the National Press Club in Canberra on Thursday, Mr Pistorius said the Ghost Bat drone was under consideration, but noted strong competition among defence companies.
"What we did in Germany during the last month is we modernised our procurement processes," he said.
The drone will serve as a "loyal wingman" to fighter jets, and is the first combat aircraft to be designed and made in Australia in 50 years.
Federal governments have poured more than $2.3 billion into the Ghost Bat's development since 2019, with a number of countries including Japan and Poland expressing interest.
Six of the drones, which have been described by the Albanese government as "world-leading," will join the Australian military as a war-fighting capability.
A factory is currently being built in Queensland to manufacture the Ghost Bat at scale.
The next phase of the drone's development includes a weapons bay that can carry different kinds of missiles, used by various foreign militaries.
The government has also announced the first seven Boxer combat reconnaissance vehicles, built at Rheinmetall Defence Australia's facility at Ipswich, have rolled off the assembly line.
A total of 211 Boxers will be built for the Australian Defence Force.
Rheinmetall Defence Australia will manufacture more than 100 Australian-made Boxer heavy weapon carrier vehicles for the German Army in a contract worth more than $1 billion.
