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Congressional Research Suggests Alternatives to Australia’s $368 Billion AUKUS Submarine Deal

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In recent developments, research prepared for the United States Congress has cast doubt on Australia’s commitment to the ambitious $368 billion AUKUS pact, which includes purchasing nuclear-powered submarines (SSNs) in collaboration with the United States and the United Kingdom. The research outlines potential alternatives to this massive expenditure, suggesting that Australia may reconsider its investment in AUKUS and explore other options for achieving its defence and security objectives.

The report emphasizes the high costs and long timelines associated with building and acquiring nuclear-powered submarines, raising questions about the practicality and effectiveness of this investment. While AUKUS aims to bolster Australia’s defence capabilities and its strategic position in the Indo-Pacific, the report points out several scenarios that could provide similar benefits without the enormous price tag.

One of the key alternatives proposed is a joint-use arrangement involving US-owned SSNs. Under this model, the United States would retain ownership of a fleet that could be deployed to support both nations’ security interests. This shared-access approach would allow Australia to benefit from advanced nuclear-powered submarine capabilities while avoiding the financial and operational burdens of building, operating, and maintaining an independent fleet.

Another alternative suggested in the report includes Australia opting for conventionally powered submarines, potentially fitted with advanced stealth and weapon systems, to address regional security challenges. While not as powerful as nuclear-powered models, these submarines could serve as a cost-effective and capable option for defending Australia’s maritime interests, especially in the shorter term.

The research also explores cooperative defence strategies that emphasize technological collaboration rather than asset sharing. By focusing on intelligence, surveillance, and other shared technological resources, Australia and the United States could work closely to strengthen their defence capabilities in ways that complement traditional submarine assets.

For the United States, the AUKUS deal represents an opportunity to solidify its presence in the Indo-Pacific through a strong regional ally. However, the Congressional report acknowledges the strain such a costly deal places on Australia’s defence budget, highlighting the risks of diverting resources from other critical areas within the country’s military infrastructure.

The report’s suggestions underscore the need for a flexible approach, particularly as both nations assess the geopolitical landscape in the Indo-Pacific region. With rising tensions in the area and a need for strategic balance, the United States and Australia may benefit from exploring these alternatives further, allowing them to achieve security objectives without compromising financial sustainability. The Congressional study serves as a critical reminder of the complexities of large defence acquisitions and the importance of aligning such commitments with national interests and resources.

As Australia reviews its strategic defence priorities, the country will need to weigh the benefits of an independent SSN fleet against the flexibility, cooperation, and financial prudence that alternative approaches might offer. In doing so, it will reaffirm its commitment to both national security and the strength of its longstanding alliance with the United States.

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