Australia will acquire at least three used US Virginia-class nuclear-powered submarines within 15 years, the countries announced May 30 at the Shangri-La Dialogue in Singapore. [1, 2, 3] The updated deal replaces the initial 2021 plan, which called for Australia to receive two used submarines plus one new submarine. [1, 4, 3]
The revision aims to simplify operational and maintenance demands by providing three identical in-service submarines. A joint statement from Australian Deputy Prime Minister and Defence Minister Richard Marles, US Defence Secretary Pete Hegseth, and UK Secretary for Defence John Healey said the approach "streamlin[es] Australia's acquisition of Virginia-class submarines (VCS), simplifying supply chain management, operational and maintenance requirements, and maximising cost efficiencies." [5]
Marles described the change as "definitely cost-effective" given the complexity and high cost of the program, projected to reach up to US$235 billion over 30 years. [4, 6, 7] "In the context of a very complicated endeavour, we need to place a premium on simplicity," he said. [4]
The US Navy currently operates 24 Virginia-class submarines but has struggled to meet targets of building two new boats per year. [1, 3] Some US critics question why submarines are being sold to Australia before US Navy needs are fully met. [1, 2]
Australia plans to build and field a new generation of nuclear submarines, known as SSN-AUKUS, over the longer term, but timing will depend on UK and US shipbuilding capacity. [8] The revised deal focuses on near-term delivery of three used boats to streamline supply chains and reduce costs. [1, 2, 9]
The original 2021 AUKUS agreement set plans for Australia to receive at least three Virginia-class boats—two used and one new—but the latest announcement simplifies this to three used submarines only. [1, 2, 3] The updated timeline sets a 15-year window for delivery.
The revised submarine deal aligns with Australia’s strategic defense goals while addressing shipbuilding capacity limits in the US and UK. Delivery of the used submarines is expected to begin over the next decade under the AUKUS framework. [8]
