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US Launches Review of AUKUS Nuclear Submarine Pact

The review aims to align the deal with President Trump’s America First agenda by pressing Australia to boost defence spending to 3.5 percent of GDP.

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Australian Prime Minister Anthony Albanese arrives for a meeting a day before world leaders meet in Kananaskis for the G7 leaders' summit, in Calgary, Alberta, Canada June 15, 2025.  REUTERS/Todd Korol
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Overview

  • The White House has initiated a review of the 2021 trilateral AUKUS agreement under President Trump’s America First criteria.
  • Under the pact, the US will transfer three Virginia-class nuclear submarines to Australia and co-develop next-generation attack vessels designed to counter China’s Indo-Pacific influence.
  • US defence officials are assessing whether domestic industrial capacity can meet both American needs and allied commitments and have urged Australia to raise its defence budget to 3.5 percent of GDP.
  • UK Prime Minister Sir Keir Starmer and Australian Defence Minister Richard Marles describe the review as a standard process and remain confident the partnership will proceed.
  • Prime Minister Anthony Albanese is set to meet President Trump at the G7 summit to secure firm US backing for AUKUS and discuss broader defence and trade cooperation.