The U.S. Defence Department (the Pentagon) has announced a review of the AUKUS agreement.
AUKUS is a defence deal involving the Australian, UK, and U.S. governments. It includes plans to arm Australia with nuclear-powered submarines within the next 30 years.
Defence Minister Richard Marles has brushed off concerns about the deal’s future, saying it has widespread support.
First: AUKUS
AUKUS was first announced in September 2021.
Its central aim is to “promote security and stability” in the Indo-Pacific region. The agreement has been broadly seen as an attempt by Western nations to curb China’s influence in the region.
For Australia, the main part of the deal involved obtaining and developing nuclear-powered submarines, estimated to cost up to $368 billion over the next 30 years.
Tensions
U.S. Defense Secretary Pete Hegseth recently urged Australia to increase defence spending to 3.5% of GDP (gross domestic product), up from 2%.
If the increase was implemented this year, it would cost around $40 billion on top of what Australia already spends.
Defence Minister Richard Marles responded, saying: “We will make this decision about what we spend on defence based on our own national interest”.
Review
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Overnight, UK newspaper the Financial Times reported the Pentagon had set up a review into the AUKUS deal. Within hours, a Pentagon spokesperson confirmed the reports to American media.
“The Department is reviewing AUKUS as part of ensuring that this initiative of the previous Administration is aligned with the President’s America First agenda,” the spokesperson said.
The Pentagon has not yet confirmed further details, including whether it will reconsider U.S. involvement in the deal.
Australia's response
Defence Minister Richard Marles has downplayed concerns about the future of AUKUS.
“It is natural that the [Trump] Administration would want to examine this major undertaking including progress and delivery, just as the UK Government recently concluded an AUKUS review,” a spokesperson for Marles said.
The UK Government’s defence review resulted in a commitment to build an additional 12 nuclear-powered submarines to expand AUKUS.
Prime Minister Anthony Albanese and his senior ministers have directly discussed AUKUS with their U.S. counterparts on five occasions this year.
In a statement, Shadow Defence Minister Angus Taylor urged the Government to “seek a direct meeting with President Trump to safeguard the AUKUS agreement”.
Albanese is attending a major summit of world leaders in Canada next week, where he plans to meet with Trump.
