Having officially launched the airport's global significant aerospace hub, Astro Aerolab on Tuesday, Mr Barilaro said that the essential infrastructure would drive innovation and collaboration and benefit the local community through jobs.

"I turned the first sod on this project 18 months ago, and this site has already been transformed to pave the way for a world-leading defence and aerospace precinct," Mr Barilaro said.

"This will allow aviation companies to establish themselves at this new location, as well as create jobs for aerospace engineers, aviation, IT and avionics specialists and attract workers."

He acknowledged the work done by Newcastle Airport, Port Stephens and Newcastle councils in making the project a reality.

Newcastle Airport CEO Peter Cock thanked the NSW government for its $11.7million investment in Astra and expanded further about what was to come in the precinct.

"Astra Aerolab is a place where world leading defence, research, aerospace and industry partners will converge to push boundaries, embrace new technologies and develop the jobs for the future.

"It will be truly uplifting for both businesses and their employees. We are determined that it will connect a global workforce with the RAAF Base Williamtown and Newcastle Airport, and is also a place where people will want to work."

"The NSW Government has joint funded the first stage of the development and doubled down by declaring a SAP with Astra at its heart. Stage one has employed 70 full-time staff through the depths of the pandemic when economic activity was so vital to regions.

"We have developed the site sustainably from the outset, including establishing over 200,000 plants and retention of a historically significant Aboriginal keeping place."

The precinct includes companies such as Leading Edge Data Centres and BAE Systems Australia.