Australia will spend $7 billion on its air and missile defence systems under a new agreement with the US, aiming to bolster deterrence in the Indo-Pacific.
Defence Industry Minister Pat Conroy announced the deal on Monday in Washington, after arriving from Europe where he attended the NATO Defence Ministers’ meeting in Brussels.
Under the agreement, Australia will acquire the Standard Missile 2 Block IIIC (SM2 IIIC) and Standard Missile-6 (SM-6) to boost the long-range capability of the navy’s warships.
The acquisitions are some of the most advanced air and missile defence weapons in the world, and are expected to be deployed across the navy’s Hobart-class destroyers and planned Hunter-class frigates.
The announcement follows soaring tensions in the region, with China having test-fired an intercontinental ballistic missile into the Pacific Ocean in September.
Mr Conroy said the nation faced the most complex geo-strategic environment since World War II.
The purchase of "world-leading, high-tech missiles" showed the government was moving fast to defend Australia’s national interests in the missile age, he added.
"Australia was the first country, other than the United States, to fire the SM-6 missile, underscoring the strength of our alliance," Mr Conroy said.
Defence Minister Richard Marles said the deal was an example of the government "accelerating the acquisition of critical capabilities for the Australian Defence Force and enhancing the lethality of navy’s surface combatant fleet".
