‘Monumental’: Major update for defence pact

Key players in delivering Australia’s AUKUS fleet are beginning work. Credit: BAE Systems
Key players in delivering Australia’s AUKUS fleet are beginning work. Credit: BAE Systems

Key players crucial to delivering Australia’s AUKUS submarine fleet are kicking off preparation work, marking a “major milestone” in making the program a reality.

The Australian Submarine Corporation (ASC) and multinational defence firm BAE Systems on Wednesday entered into a joint venture agreement to begin drawing up plans and schedules for the SSN-AUKUS build program.

Under the decades-long program, Australia is set to build up to five of the nuclear-powered submarines at Osborne Naval Shipyard in Adelaide, with the first tipped to be ready by the early 2040s.

Deputy Prime Minister Richard Marles said the preparation work was a “major milestone towards the construction of Australia’s SSN‑AUKUS submarines in South Australia”, putting the project on track to start building this decade.

Deputy Prime Minister Richard Marles says Australia will start building the SSN-AUKUS fleet this decade. Picture: Jacquelin Magnay
Deputy Prime Minister Richard Marles says Australia will start building the SSN-AUKUS fleet this decade. Picture: Jacquelin Magnay
Key players in delivering Australia’s AUKUS fleet are beginning work. Credit: BAE Systems
Key players in delivering Australia’s AUKUS fleet are beginning work. Credit: BAE Systems

“These mobilisation arrangements provide the foundation that will underpin a generational uplift in Australia’s industrial base for the construction of this critical capability,” Mr Marles said.

“Construction of Australia’s first SSN-AUKUS submarine will commence in Australia by the end of this decade and the work to deliver this capability is already well underway.

“This will be a whole-of-nation undertaking, one which will provide Australia with robust and resilient supply chains that enhance our national security.”

The joint venture agreement also commits ASC and BAE Systems to investing in building out the workforce needed to deliver the submarines, as well as sort out supply lines for materials and carry out risk-reduction activities.

Defence Industry Minister Pat Conroy, who has led the charge in building out Australia’s ability to defence manufacturing capability, said the agreement was “a monumental strategic asset for Australia”.

“AUKUS is the largest and most important defence capability project Australia has ever embarked upon and it is happening now,” he said.

“The enduring partnership between ASC and BAE Systems solidified today is a monumental strategic asset for Australia and one that will provide decades of certainty for our defence industrial base and financial security for thousands of workers.

”This agreement enables critical scopes of work, including the development of the Australian shipbuilding workforce and supply chain, and underscores the Albanese Government’s commitment to a future made in Australia.”