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Trump's Aukus assurance to UK eases Aussie fears, but concerns remain

The Straits Times

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June 21, 2025

Questions persist over pact's hefty cost and country's ability to raise defence spending

- Jonathan Pearlman

Trump's Aukus assurance to UK eases Aussie fears, but concerns remain

SYDNEY - A much-vaunted meeting between Australian Prime Minister Anthony Albanese and US President Donald Trump to discuss the future of a three-way security pact that also involves Britain did not take place as planned at the Group of Seven (G-7) summit in Calgary, after the American leader abruptly left to deal with the Israel-Iran war.

Nevertheless, Canberra's concerns about the US commitment to the Aukus pact, which involves the supply of nuclear-powered submarines to Australia at a cost of A$368 billion (S$307 billion), were partially assuaged when British Prime Minister Keir Starmer appeared to secure the backing of the mercurial Mr Trump for the deal.

Standing alongside Mr Trump at a press conference on the sidelines of the G-7 summit on June 16, Mr Starmer said: "We are proceeding with that; it is a really important deal to both of us."

Mr Trump made no attempt to disagree, saying: "We are very long-time partners and allies and friends."

Asked after this press conference whether he thought Mr Trump favoured Aukus, Mr Albanese told reporters: "I have seen nothing to suggest otherwise."

Concern that the US might back out of Aukus has risen in the wake of recent warning signs from the White House.

First, US Defence Secretary Pete Hegseth used a meeting with his Australian counterpart, Mr Richard Marles, during the Shangri-La Dialogue in Singapore on June 1 to urge Canberra to raise its defence spending from 2 per cent of gross domestic product (GDP) to 3.5 per cent.

Ten days later, news emerged that the Pentagon was conducting a review of the Aukus deal. Critics of the deal in Washington have warned that the navy cannot afford to sell Virginia-class submarines, as it is failing to produce enough for its own needs.

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