Sydney: Australia has confirmed that it will soon release its next billion-dollar installment under the AUKUS submarine program, reinforcing its long-term commitment to the trilateral security partnership with the United States and the United Kingdom. Defense Industry Minister Pat Conroy, speaking in Washington, announced that the payment would be made “shortly,” underscoring Australia’s determination to maintain the project’s momentum despite a Pentagon review of certain AUKUS components.
The AUKUS agreement, signed in 2021, represents a major strategic and technological leap for Australia, granting it access to nuclear-powered submarines for the first time. The deal aims to enhance deterrence and strengthen maritime security in the Indo-Pacific, amid China’s growing military assertiveness. Under the initial framework, Australia pledged a total of USD 3 billion to support U.S. submarine manufacturing capacity, with USD 2 billion expected to be disbursed by 2025.
Minister Conroy revealed that Australia had already made the first billion-dollar payment and was preparing the next tranche. “We’ve made a billion dollars. The plan is to provide another billion dollars shortly,” he said, adding that the funding would directly contribute to U.S. shipyard expansion and technical support for Australia’s future submarine fleet. His remarks come ahead of Prime Minister Anthony Albanese scheduled visit to Washington next week, where AUKUS is expected to feature prominently in discussions with President Donald Trump.
While U.S. defense officials have initiated a detailed review of the AUKUS program’s industrial and security components, Canberra remains confident about the deal’s stability. Defense Minister Richard Marles stated that the Australian government has been in regular contact with the Pentagon and has “a sense of when this will conclude,” though he avoided revealing specific dates. Australian officials have expressed optimism that the partnership’s strategic and industrial goals remain aligned across all three nations.
The AUKUS initiative not only focuses on submarines but also encompasses advanced defense technology sharing, including quantum computing, artificial intelligence, and long-range strike capabilities. Conroy highlighted Australia’s growing defense-industrial collaboration with the U.S., revealing plans to manufacture up to 4,000 Lockheed Martin–made missiles annually at a new production facility in Australia. A portion of these weapons, he noted, would be supplied directly to the United States, marking a milestone in bilateral defense cooperation.
In addition to missile production, Australia is working with Lockheed Martin and the U.S. Department of Defense to develop an upgraded version of the Precision Strike Missile (PrSM), which will be capable of reaching targets more than 1,000 kilometers away. This initiative, Conroy said, exemplifies the broader spirit of AUKUS co-development, co-production, and co-sustainment between trusted allies.
The AUKUS program has been described as a “generational partnership” that will redefine Australia’s defense architecture for decades to come. Beyond its military dimension, the initiative also signals the country’s deeper integration with U.S. defense industries, research institutions, and strategic planning networks. Analysts view the upcoming payment as both a financial and political signal that Canberra remains fully invested in the AUKUS vision.
As Australia moves to make its next billion-dollar contribution, attention will now turn to Washington, where upcoming meetings between Albanese and Trump may determine how quickly the submarine project transitions from planning to production. For Australia, the payment represents more than a contractual obligation it is a reaffirmation of its place at the center of a powerful alliance designed to maintain stability and balance in the Indo-Pacific region.