US EditionAUKUS Price Tag Could Be Raised
AUSTRALIA, JUL 8 – Colby leads a review of the AUKUS submarine deal amid rising tensions with China, with concerns over costs and operational control influencing Australia-US defense relations.
- The US is reviewing the AUKUS nuclear submarine deal with Australia, focusing on its cost-effectiveness and future conditions.
- This review follows concerns about rising costs, steel tariffs, and US submarine production delays impacting the agreement.
- Australia plans to acquire three built Virginia-class submarines in the early 2030s, with the deal estimated between $268 billion and $368 billion.
- David Andrews indicated that the base estimate of $268 billion for the deal is expected to increase, but the budget includes a 50% contingency to account for potential cost fluctuations.
- If costs increase or conditions change, Australia could face higher payments and deployment requirements, while political uncertainty leaves AUKUS's future dependent on US leadership.
11 Articles
11 Articles
Sydney Morning Herald
The AgeIf we go to war, submarines come too: How US could demand AUKUS changes
Australia is facing the prospect of a Trump administration review demanding it pay more for the $368 billion AUKUS pact – and a guarantee that it supports the US in any conflict.
Collins-Class: The Story of Australia’s $20 Billion ‘Dud Subs’
Key Points and Summary on the Collins-Class: Australia’s Collins-class submarine program has been a decades-long “national security failure,” plagued by severe technical problems, cost overruns, and a dysfunctional management structure. From their inception, the six diesel-electric boats were dubbed “Dud Subs” and “noisy as a rock concert” due to persistent issues that left the fleet with near-zero availability for years. As recently as December…
AUKUS praised as a win-win for international security
AUKUS envoy affirms Australia’s key role in security cooperation, highlighting nuclear submarine capabilities amid US defense partnership. The UK’s top AUKUS envoy is in Australia, calling the trilateral pact a win-win for international security and defence cooperation. The visit shines a light on Australia’s strategic role in the alliance, particularly its commitment to building nuclear submarine capabilities. This moment marks a key test of t…
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