Australia is to spend an initial A$12 billion (US$8 billion) to upgrade shipyard facilities for a future fleet of nuclear-powered submarines, the Australian government said yesterday.
The investment is to be spent over a decade to transform a shipbuilding and maintenance precinct in Perth, Western Australia, Australian Minister for Defence Richard Marles said.
The government is ploughing money into Perth’s Henderson Defence Precinct after signing the 2021 AUKUS pact with the UK and the US to arm its navy with nuclear-powered submarines.
Photo: AAP Image via AP
The shipyard development is part of a major military restructure to improve Australia’s long-range strike capabilities in the face of China’s expanding military strength across the Pacific.
Australia, which has no infrastructure to service nuclear-powered submarines, aims to acquire at least three US Virginia-class submarines within 15 years and eventually to manufacture its own subs.
“Henderson is very much an AUKUS project. It is where we will do sustainment and maintenance of our future submarines,” Marles told a news conference.
“I have got no doubt this decision will be welcomed in the United States, as it will be welcomed in the United Kingdom, because it is another step down the AUKUS path,” the minister said.
The decision was based on Australia’s own assessment of the “strategic landscape” it faces and the defense force it needs “to meet that moment,” he said.
The investment would help equip Henderson with high-security dry docks to maintain nuclear-powered submarines, as well as facilities to build landing craft and eventually Japanese Mogami-class frigates, Marles said.
The US is also expected to use the shipyard for maintenance of its own nuclear-powered submarines.
Total costs to develop the Henderson Defence Precinct could eventually reach an estimated A$25 billion, the minister said.
The shipyard expansion is the latest in a string of high-profile Australian defense upgrades.
Australia last month announced it would equip its navy with 11 Mogami-class frigates built by Japan’s Mitsubishi Heavy Industries.
Australia would pay A$10 billion over the next 10 years to acquire the stealth frigates as it aims to expand its fleet of major warships from 11 to 26 over the next decade. The first three frigates would be built overseas, but Australia hopes to produce the rest in Western Australia.
Last week, the Australian government said it would deploy a A$1.7 billion fleet of “Ghost Shark” underwater attack drones, with the first expected to enter service in January.
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