Donald Trump has signalled his support for AUKUS as it’s revealed Australia paid the United States almost $1billion as part of the landmark deal.
Defence Minister Richard Marles met with US Secretary of Defence Pete Hegseth in Washington on Saturday during a series of high-level meetings to strengthen the Australia-US alliance.
‘The president is very aware, supportive of AUKUS,’ Mr Hegseth told reporters during his meeting with Mr Marles.
‘(He) recognises the importance of the defence industrial base.’
Trump’s support for AUKUS through Mr Hesgeth comes after fears he would try to renegotiate the deal.
Ahead of the meeting, Mr Marles revealed Australia had made a $US500million ($797million) down payment for AUKUS in the first weeks of the Trump administration, and well ahead of a June 30 deadline.
The money is part of a total $4.78billion commitment to help the US with faltering submarine production.
Australia is to buy between three and five off-the-shelf Virginia-class boats from the US in the early 2030s as it prepares a domestic industry.
‘We are really happy with the conversations that we’ve had with the Trump Administration in relation to this,’ Mr Marles said.
‘The optimal pathway – which is now underpinned in a trilateral treaty between our three countries (including the UK), which I signed in Washington back in August of last year – is an agreement that is going to endure over decades.’
Australia’s military budget is expected to rise to 2.3 per cent of GDP by 2034, putting it in line with current spending by the UK and ahead of France and China.
The Albanese government is meanwhile continuing to ward off any Trump-imposed tariffs on the nation’s exports as it highlights the trade surplus the US has with Australia.
Mr Trump overnight said he planned to announce reciprocal tariffs on many countries within days, ratcheting up his bid to reshape global trade.
‘We will continue to press the Australian case around the question of trade. We are an island trading nation where trade forms an increasing share of our national prosperity,’ Mr Marles said.
Australia, which tore up its $90billion diesel-powered submarine deal with France to sign on to AUKUS, will buy several off-the-shelf submarines, costing about US$4billion each, before making its own.
The first Australian-made boats are due to be operational in the 2040s.