Australia Invests $7.9 Billion in Defense Expansion
SINGAPORE — Australia is set to allocate 12 billion AUD (approximately $7.9 billion USD) towards the development of a new defense precinct, which will feature naval shipyards and initiatives related to the AUKUS security pact. The Australian Department of Defence announced this significant investment over the weekend, emphasizing that it marks the beginning of a larger project expected to require around 25 billion AUD over the next decade.
Investment in Naval Capabilities
The funding will primarily support the establishment of shipyards dedicated to constructing military vessels for the Australian Defence Force. This initiative will commence with the production of landing craft for the Australian Army, followed by the construction of eight general-purpose frigates for the Royal Australian Navy (RAN). Additionally, the precinct will be equipped with contingency docking facilities for Australia’s future fleet of nuclear-powered submarines, anticipated to arrive in the early 2030s. The investment will also enhance infrastructure for the maintenance and sustainment of RAN vessels, including graving docks and depot-level maintenance facilities.
According to a government statement, advancing these capabilities is essential for Australia’s commitment to the AUKUS pathway, ensuring readiness to receive its first Virginia-class submarine in the early 2030s. Australian Deputy Prime Minister and Defence Minister Richard Marles reiterated the government’s dedication to increasing defense spending to unprecedented levels, highlighting a planned additional investment of 70 billion AUD over the next decade. This increase represents the largest peacetime boost in defense spending in Australian history.
Strategic Partnerships and Future Plans
In a recent television interview, Marles emphasized the importance of the Henderson Defence Precinct for Australia’s shipbuilding and sustainment industry. He noted that the facility will play a crucial role in maintaining both Australian and allied submarines, which is vital for enhancing operational capabilities. “That’s really important in terms of getting more of our allied submarines into the water, more sea days,” he stated, aligning with U.S. interests in the region.
U.S. Navy Submarine To Undergo Maintenance In Australia For The First Time
Plans are in place for U.S. Navy and British submarines to operate rotationally from Australia’s Fleet Base West starting in 2027, which is located near the Henderson Defence Precinct. Under the AUKUS agreement, Australia is set to receive three Virginia-class submarines from the United States, with a transition to five SSN-AUKUS submarines expected by the early 2040s. While the AUKUS pact is currently under review by the U.S. administration, Marles expressed confidence in its continuation, although he refrained from confirming reports regarding assurances from U.S. Secretary of State Marco Rubio about the delivery of Virginia-class submarines to Australia.
