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Australia pledges $2.8 billion in nuclear infrastructure

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. Australia has announced an initial investment of AU$3.9 billion (about $2.8 billion) for a new construction facility, in a decisive step towards nuclear-powered submarine building capacity under the trilateral AUKUS Security Partnership. The government has described this amount as a ‘down payment’. This will lay the groundwork for a long-term defence transformation.

The AUKUS agreement with the United Kingdom and the United States aims to provide Australia with a fleet of U.S. state-of-the-art submarines, but also open the door to collaboration on the development of advanced warfare technology.TAG_OPEN_div_18 The submarine deliveries are planned to begin by 2032 and are seen as part of a strategy to counter China’s growing influence in the Pacific region.

The deal is expected to force Australia to spend up to $235 billion over the next 30 years.TAG_OPEN_div_16 This includes the transfer of technology to build submarines in the country in the future. Defence Minister Richard Marles said the construction site at Osborne, near the southern city of Adelaide, would be the nucleus of the project. According to him, about 30 billion Australian dollars are expected to be invested in this facility in the long term.

He said the infrastructure expansion at Osborne puts Australia on track to have the sovereign capability to build its own nuclear-powered submarines in the coming decades.TAG_OPEN_div_14 Prime Minister Anthony Albanese said the investment in the submarine yards would be crucial to ensuring the supply of traditionally armed, nuclear-powered submarines. He expressed the belief that the AUCUS project would contribute to the long-term security of defence capabilities, create jobs and contribute to industrial prosperity.

In September, Canberra said it would spend $TAG_OPEN_div_12 8 billion over a decade to convert a shipbuilding and repair complex in Perth, Western Australia, for the nuclear-powered submarines of the future.

The AUKUS program was pushed forward after the cancellation of a multi-billion dollar diesel-powered submarine purchase deal with France in 2021, which sparked diplomatic tensions with Paris.TAG_OPEN_div_10 The deal fell into limbo in June when Washington began reviewing whether it would align with President Donald Trump’s “America First” agenda. But in December, the Pentagon said the review process had been terminated and Trump had directed the program to “fully proceed.”

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