Defense Minister Pat Conroy rejects opposition claims that Australia’s nuclear-powered submarine program is cannibalising existing capability, insisting that defense spending will both continue and expand to meet new strategic needs.

Under the AUKUS agreement, Australia will acquire three Virginia-class submarines with an option for two more, while the first Australian-built SSN-AUKUS submarines are slated for delivery in the early 2040s, with construction at Adelaide’s Osborne Naval Shipyard to begin by year-end and a total of five SSN-AUKUS boats planned.

Conroy, currently in the UK meeting counterparts and inspecting sites, contends the $368 billion AUKUS pact remains on track, with milestones including reducing steel consumption and delivering the first AUKUS submarine in the early 2040s.

Conroy highlights a substantial defense budget rise of about $70 billion over the next decade and notes $21 billion dedicated to establishing sovereign missile manufacturing, including a factory already built and another set to be operational in 2027.

Australia is advancing AUKUS-related initiatives, with ongoing submarine program milestones, new capabilities like Ghost Sharks at sea, and the acquisition of 11 Mogami-class frigates spanning multiple domains.

Liberal senator James Paterson argues for defense spending at 3% of GDP, claiming 2% commits cuts to other capabilities, a view Conroy calls ignorant.