The post-colonial period reveals a growth of interest in new technologies and technological transfer; these are discussed at some length in the next section. Nevertheless, even at the outbreak of the First World War, Australia's industrial role was seen as primarily a supplier of food. The ammunition crisis in Britain in 1915 changed that view.

The prospect of the Second World War stimulated some planning for the introduction of new military technologies; some of the proposals were adopted into an industrial base which had strengthened considerably since the previous war. German successes in Europe heightened the sense of isolation and initiated genuinely new technologies and weapon development. Some of these continued through the war, but some, including some good ones, were stifled by the flood of equipment into the Pacific region from America after the entry of Japan into the war.

American dominance of the logistics of the Pacific region was to have stultifying effects many years later. Australian units eager to participate in the main drive to Japan were either engaged in island clearing campaigns or were left for some time on the mainland while the U.S. troops went ahead. It was alleged that this was because the Australian equipment was not standardized with the American equipment -but see Charlton.[1] The relegation engendered great frustration in young professional officers. Later those officers became national military leaders with a strong leaning towards American oriented (standardized) equipment policies. The effect of this on Australian production and development was not inconsiderable. During the Pacific war itself, however, many problems were encountered which stimulated indigenous research and development. The tropical environment called for new production techniques in textiles, optics, leather goods, communications, and ammunition.

The coming of peace created the usual sense of uncertainty and redirection. Industries turned to civilian production and the CSIRO set its face firmly against defence research. The remaining defence scientists felt isolated. Some international contacts remained, such as the Commonwealth Aeronautical Advisory Research Council (CAARC) but this was increasingly civilian in outlook.

It might have been expected that the defence research laboratories would be dismantled in the general rush towards post-war reconstruction. The foreseeable withdrawal of the United Kingdom from South East Asia and the remaining sense of isolation engendered by the war itself dictated otherwise. The laboratories so kept provided a fortunate basis for what was to follow.

The United Kingdom's experiences of the First World War and the presence of the USSR in Europe had led it to a high technology program for air defence and nuclear weapon development. Its geographical position was unsuitable for field testing of such programs and Australian territory was made available. The Long Range Weapons Establishment (LRWE) created facilities for joint research and development at Salisbury and Woomera in South Australia, and provided training in Australia and overseas for very many scientists and engineers. When the British withdrew from the project, these people, together with those of the wholly Australian research and development establishments, formed the basis of what is now known as the Defence Science and Technology Organisation (DSTO).

Australian Academy of Technological Sciences and Engineering