Australia has entered into a four-year contract worth 2.2 billion Australian dollars (approximately 1.4 billion USD) with the state-owned submarine builder ASC to upgrade its Collins-class submarines.
Job Security for 1100 Workers
According to Ziare the "sustainment contract" is part of the Australian government's commitment to maintain the diesel-powered fleet as a formidable strike and deterrent capability, according to Defense Industry Minister Pat Conroy.
This significant contract ensures the job security of over 1,100 highly skilled workers, with the maintenance and upgrade work to be conducted in Henderson, Western Australia, and Osborne, South Australia.
The Osborne site is also where ASC and BAE Systems of the UK will collaborate to build Australia's nuclear-powered submarine fleet, a critical component of the AUKUS pact established in 2021 between the UK, the US, and Australia.
5 Billion Australian Dollars for Submarines
The Collins-class submarines, which are to be operational into the 2040s, play a crucial role in Australia's maritime defense strategy. The government has committed to allocating between 4 and 5 billion Australian dollars for the submarines, ensuring that they remain an effective part of Australia's defense capabilities.
This upgrade is seen as a vital step in bolstering Australia's defense posture in the Indo-Pacific region, aligning with broader strategic goals under the AUKUS agreement, which seeks to enhance military cooperation and technology sharing among the three allied nations.