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Full Story Will the Aukus submarine deal go belly up?
Jun 12, 2025
Josh Butler, a political reporter for Guardian Australia based in Canberra, discusses the precarious state of the Aukus submarine deal ahead of a high-stakes meeting between Australia's Prime Minister and Donald Trump. He reveals how recent reviews by the US Department of Defense could jeopardize Australia's defense strategy. Topics include the implications for US-Australia relations, the need for heightened defense spending, and the strategic importance of this partnership amidst ongoing diplomatic challenges.
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Pentagon's Review Raises Concerns
- The Pentagon is reviewing AUKUS to align it with President Trump's America First agenda and ensure allies contribute fairly to defense.
- The review raises concerns about the US industrial base's capacity to build submarines for Australia on schedule.
Defense Spending Disagreement Key Factor
- The US urges Australia to raise defense spending to 3.5% of GDP to share collective defense burden fairly.
- Australia insists on sovereign decision-making for defense budgets but is open to increased investment based on necessity.
Morrison Sees Review as Routine
- Scott Morrison says the Pentagon review of AUKUS is routine and not a policy decision yet.
- He urges Australia to keep making the case to the US that AUKUS benefits both countries.