Key Points
- Canberra commits $8b to Perth’s Henderson Defence Precinct
- Upgrade central to AUKUS nuclear-powered submarine programme
- US reviewing pact but officials signal positivity: reports
- Total costs could climb to $16.6b as Australia expands navy
ISLAMABAD: Australia has announced an initial A$12 billion (US$8 billion) upgrade to its Henderson Defence Precinct in Perth to build and maintain nuclear-powered submarines under the AUKUS pact with the United States and the United Kingdom.
Defence Minister Richard Marles said on Sunday the decade-long investment would transform the precinct into a hub for submarine sustainment and maintenance. “Henderson is very much an AUKUS project,” he told reporters, adding the facility would also support construction of new warships, including Japanese Mogami-class frigates.
“Strategic landscape”
The move comes amid what Marles described as a shifting “strategic landscape,” with China’s expanding military presence across the Pacific spurring Canberra to restructure its defence force for long-range strike capability. Reuters reported that the project is expected to create thousands of jobs and eventually cost up to A$25 billion (US$16.6 billion) once complete.
Australia plans to acquire at least three US-built Virginia-class submarines within 15 years before shifting to local production. The Washington Post noted that the AUKUS programme, estimated at US$235 billion over 30 years, is under review by the Trump administration to ensure it aligns with “America First” priorities, though US Secretary of State Marco Rubio has privately reassured Marles the pact will proceed.
Nuclear propulsion technology
Under AUKUS, signed in 2021, Australia gains access to nuclear propulsion technology for submarines in partnership with Washington and London, a move analysts say will reshape security dynamics in the Indo-Pacific. The pact is also expected to allow the US and UK navies to use the upgraded Henderson facilities for their own vessels.
Canberra has coupled the submarine programme with broader naval investments, including A$10 billion (US$6.6 billion) for 11 Mogami-class frigates and more than A$1.7 billion (US$1.13 billion) for “Ghost Shark” underwater drones. Government figures cited by the Guardian show total new defence commitments since May 2022 now exceed A$70 billion (US$46.4 billion) over the next decade.
