The AUKUS deal, a trilateral agreement between the US, UK, and Australia, might be in for a price hike.
According to sources familiar with the review, the US Department of Defence is considering adding extra costs and conditions to the deal, including demanding Australia’s nuclear submarines support the US in a conflict with China.
The Review’s Potential Impact on Australia
The review, announced in June, aims to ensure the initiative aligns with the President’s America First agenda.
If the changes go through, Australia could be asked to pay more for nuclear-powered submarines from the US, with the current price tag standing at around $4.7 billion.
Another potential condition of the revised deal is that the submarines be deployed to support the US in a conflict with China over Taiwan.
This development could significantly impact Australia’s involvement in the AUKUS pact.
AUKUS: A Bipartisan Effort?
AUKUS has enjoyed broad bipartisan support in the US since its inception.
However, the review itself was not a whole-of-government initiative, with Secretary of State Marco Rubio claiming he was unaware of it at the time.
Defence Minister Richard Marles has downplayed the potential outcomes of the review, citing the UK’s similar review and re-endorsement of AUKUS.
The Driving Force Behind the Changes
The main driver of changes to AUKUS is reportedly US Undersecretary of Defence Elbridge Colby, who had previously opposed the sale of nuclear submarines to Australia.
The US government’s fault lines on foreign policy, as seen in President Donald Trump’s mercurial approach, may also influence how the review is received in the White House.