Arthur Sinodinos makes major call on the future AUKUS deal under the Trump Administration

7NEWS

16-06-2025

Australia's defence deal with the United States will survive under President Donald Trump, according to former top Australian diplomat Arthur Sinodinos.
The Pentagon confirmed to 7NEWS last week that the more than $300 billion deal, which involves the sale of three Virginia Class SSNs (nuclear-powered submarines) to Australia, was under review.
Sinodinos, who appeared on Sunrise on Monday, was asked about the future of the deal.
'I believe it will (survive the review),' he told Nat Barr.
'There is a lot of bipartisan for the deal from day one in the Congress, both Republican and Democrat.
'Trump himself, I think, would see that we are pulling weight.
Australia has already made a $500 million down payment to the United States for the first Virginia class vessels.
'We are going to spend, what $370 billion on AUKUS, pillar one and pillar two,' Sinodinos said.
'We are putting money into the US, $500 million already, we are putting money into the UK industrial base. We are doing what he expects allies to do.
'Now, there is a separate debate about whether spending overall on defence should go up.
'But I think it is right to say, let's work out what we need in concert with the Americans, before deciding on a figure.'
Trump would need to certify the sale of the submarines won't impact the US industrial base.
'What is happening in the US is the navy is putting more money into the industrial base to accelerate the rate of submarine construction, so we can meet that timeline,' Sinodinos said.
According to Sinodinos, it will also 'have a deterrent effect on China.
'So, if we look at any stage like we are second guessing ourselves, or we are not committed to really doing this, we are not serious, the Chinese will say, 'look, at end of the day, they are all paper tiger, we don't have to worry'.
'We can just keep pushing ... in the Indo-Pacific and these characters will not push back.'
AUKUS under review
A US Department of Defense official says AUKUS is being reviewed 'as part of ensuring that this initiative of the previous Administration is aligned with the President's America First agenda'.
'As Secretary Hegseth has made clear, this means ensuring the highest readiness of our servicemembers, that allies step up fully to do their part for collective defence, and that the defence industrial base is meeting our needs,' the official said.
'This review will ensure the initiative meets this common sense, America First criteria.'
The Albanese government has sought to reduce fears about the future of AUKUS.
Deputy Prime Minister and Defence Minister Richard Marles says the government is 'committed to AUKUS and we look forward to working closely with the US on the review'.
'The United States advised Australia and the UK of the review,' Marles said.
'It is natural that the administration would want to examine this major undertaking including progress and delivery, just as the UK government recently concluded an AUKUS review and reaffirmed its support.
'All three countries are committed to ensuring AUKUS meets national and trilateral objectives.
'Importantly, AUKUS will grow both US and Australian defence industry as well as generating thousands of new manufacturing jobs.
'There is bipartisan support in the United States with the passage of important provisions in the National Defence Authorisation Act in 2023 to enable the transfer of US Virginia class submarines to Australia, and to enable Australians to work on maintenance activities of US Virginia class submarines.'
'Our engagement with the Trump Administration and across the full political spectrum in the United States has shown clear and consistent support for AUKUS.'
What is AUKUS?
Under the plan signed between former prime minister Scott Morrison and former United States president Joe Biden, the White House intends to sell Australia three Virginia Class SSNs (nuclear-powered submarines) from as soon as the early 2030s, which was authorised by the US Congress in December 2023.
Australia retains the option to seek approval for up to two more if needed.
Australia's Submarine Agency says, 'This acquisition will eliminate any capability gap and increase the three nations' (Australia, UK and US) ability to deter aggression and contribute to peace and stability in the Indo-Pacific.'
Australia will then build its own nuclear-powered submarines based off technology from the UK.
Australia's nuclear-powered submarines — SSN-AUKUS — will be based on the UK's next-generation design that incorporates technology from all three nations, including cutting edge US submarine technologies.
The UK will commence construction of its first SSN-AUKUS in Barrow-in-Furness UK, as early as the late 2020s. The UK intends to deliver its first SSN-AUKUS to the UK Royal Navy in the late 2030s.
Australia will begin building its first SSN-AUKUS in Adelaide, South Australia, by the end of this decade, and plans to deliver the first Australian-built SSN-AUKUS to the Royal Australian Navy in the early 2040s.