Raff Ciccone (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Minister representing the Prime Minister, Senator Wong. Last week the Albanese Labor government announced Australia's build partners for the conventionally armed nuclear-powered AUKUS submarines: ASC and BAE Systems. How does this demonstrate the enduring confidence the government has in Australia's and, particularly, in South Australia's shipbuilding workforce?

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

I thank Senator Ciccone for his question, for his work as chair of the Senate Foreign Affairs, Defence and Trade Committee and for his interest and engagement on national security and defence matters. He is correct. At the Osborne naval shipyards last week, the Deputy Prime Minister and I were joined by counterparts from the United Kingdom, by Ambassador Kennedy and by Premier Malinauskas. We announced that the government has appointed ASC and BAE Systems as our sovereign submarine partners to build Australia's AUKUS submarines. This will see a joint venture established which will bring together the skills, knowledge, resources and capabilities of these two partners.

ASC has also been appointed the sovereign submarine partner for sustainment and maintenance of our AUKUS submarines. It will sustain the conventionally armed nuclear-powered submarines in Australia, including in the lead-up to, and throughout, Submarine Rotational Force-West in Western Australia. This is in addition to the central role ASC currently plays in sustainment and maintenance of Australian's current Collins class submarines, including the life-of-type extension to be carried out in Adelaide.

I had the privilege when I was finance minister of being a shareholder minister of ASC, and I am deeply proud of the work that management and the workforce did to get that firm and that workforce to the level of expertise to deliver the outstanding outcomes that they have delivered over the years. There will be some 4,000 Australian jobs in the design phase and construction of the yard for the new submarine and 5½ thousand during the build of the submarines. Over the next years we estimate that over $30 billion will be invested in Australia's industry to deliver AUKUS. Our build and sustainment strategy is a further step in the Albanese government's commitment not only to strategic strength but also to a future made in Australia.

Sue Lines (President) Share this | Link to this | Hansard source

Senator Ciccone, a first supplementary?

Raff Ciccone (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

Thank you for that comprehensive answer, Minister. I do note that you have spoken, as have many others, about the increased strategic competition in our region. Why is AUKUS so critical to the peace and stability of the Indo-Pacific?

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

(—) (): Senator Ciccone is right. We do live in a much more challenging strategic environment, and responsible governments do have to look at what is the best way to ensure Australia's interest in a rapidly changing world. Our belief is that Australia is best served where we have strategic balance or strategic equilibrium in our region. We are also always motivated to seek peace and stability in our region. In that vein, we are open and transparent about our acquisition of nuclear powered conventionally armed submarines and, as the IAEA director-general has welcomed, we believe these submarines will transform our ability to deter or respond to any future threats and, most importantly, to change the calculus for any potential aggressor. Strategic balance means we must ensure that no country will ever assume that the benefits of conflict outweigh the risks. (Time expired)

Sue Lines (President) Share this | Link to this | Hansard source

Senator Ciccone, a second supplementary?

Raff Ciccone (Victoria, Australian Labor Party) Share this | Link to this | Hansard source

This is the last one of the week for me. With reference to the minister's comments about her visit with the Minister for Defence to the Osborne Naval Shipyard last week with the UK's foreign and defence secretaries and US ambassador, Caroline Kennedy, how is Australia working with our US and UK counterparts on AUKUS?

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

(—) (): Australia, the United States and the United Kingdom are self-evidently united by many things including shared values and our shared interest—although, I can say, after attending a football game, that maybe AFL is not one of them. We all want to promote a free and open Indo-Pacific in a region which is peaceful, stable and prosperous, and the AUKUS submarines, by design, will incorporate technology from all three nations. Australia's military and civilian personnel will embed with the US Navy and Royal Navy and, through pillar 2, AUKUS partners are deepening cooperation on a range of security and defence capabilities. We are working together to ensure each nation is equipped to defend against rapidly evolving threats. We are pleased, very appreciative, of them being able to take place in Australia, particularly the visit to Adelaide. (Time expired)