Defence Minister Richard Marles said on Tuesday that Australia will upgrade its navy through 11 Mogami-class frigates built by Japan’s Mitsubishi Heavy Industries.
Since World War II, Australia will be known as Japan’s largest defense export deal, paying $6 billion ($10 billion) over the next 10 years to acquire the fleet of stealth frigates.
Australia is in the midst of a major military restructuring, strengthening its navy with long-range firepower to stop China.
It is working to expand its main warship fleet to 26 from the next decade.
“It’s obviously the largest defense industry deal ever,” Mars said in touting the deal.
He added: “This decision was made based on Australia’s best ability.”
“We do have a very close strategic alignment with Japan.”
Mitsubishi Heavy Industries was awarded the tender for the Thyssenkrupp marine system in Germany.
Mogami-class warships are advanced stealth frigates equipped with effective weapons.
Mars said they will replace Australia’s aging ANZAC-class ship, and by 2030 the first Morgan Wood-class ship is on the water.
“The Mogami-class frigate is the best frigate in Australia,” Mars said.
“This is the next generation of ships. It is stealthy. It has 32 vertical launch units and is capable of launching long-range missiles.”
The deal further cements the emerging security partnership between Australia and Japan.
Japan is deepening its cooperation with U.S. allies in the Asia-Pacific region, just like Tokyo, in territorial disputes with China.
Japan and Australia are both members of the “Quad” group along with India and the United States.
Japanese government spokesman Yoshimasa Hayashi said on Tuesday the deal was “a proof of trust in our country’s advanced technology and the importance of interoperability between the Japanese Self-Defense Force and the Australian military.”
Hayashi told Tokyo reporters that this is also an “important step in enhancing national security cooperation with Australia”.
“More deadly”
Japan’s pacifist constitution restricted its export of weapons, but in 2024, Tokyo relaxed its arms export controls to enable it to be sold abroad.
According to local media reports, the order is Japan’s largest defense export agreement since World War II.
Defense Industry Minister Pat Conroy said the Mogami-class frigate was able to launch long-term Tomahawk cruise missiles.
“The acquisition of these stealth frigates will make our navy a bigger navy and a more deadly navy,” he said.
Conroy said the first three Morgan Wood-class frigates will be built overseas and the rest are expected to be produced in the Western Australia shipyard.
Australia has announced a deal that acquired a U.S.-designed nuclear-powered submarine in 2021 and canceled a one-year plan to develop non-nuclear power plants from France.
According to the tripartite Aukus Pact with the United States and the United Kingdom, the Australian Navy plans to acquire at least three Virginia-class submarines within 15 years.
According to the Australian government’s forecast, the Aukus submarine program alone can bring the country to as much as $235 billion in the next 30 years.
Australia’s major defence projects have long suffered from cost overruns, government turnovers, policy changes and loss of project plans that make more sense for local jobs than defence.
Australia plans to gradually increase its defense spending to 2.4% of GDP, a target set by its NATO allies, but U.S. demand is less than 3.5%.