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The UK Defence Industry in the 21 Century
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The Five Forces of Americanisation
interoperability, and driving knowledge-sharing and innovation. One of its aims is to “foster deeper
integration of security and defence-related science, technology, industrial bases, and supply chains”.
“The defense ministers for the US and South Korea today announced a new joint defense science
and technology executive committee, one that expressly will consider options for Seoul’s
participation in AUKUS Pillar II.
“”Based on the defense vision of the alliance, we plan to establish a vice-minister level defense
science and technology executive committee within this year to explore the application of
cutting-edge science and technology in the defense sector, as well as cooperation on AUKUS
Pillar II,” Kim Yong Hyun, the minister from South Korea, said during comments at the Pentagon.”
(Breaking Defence, Indo-Pacific, October 2024)
Australia is a founding member of AUKUS, with its prospective new nuclear-powered submarine
programme the focus. Whilst this reflects an increasingly close security alliance with the USA and UK
in the region, the fact that it quickly attracted potential new joiners, including South Korea and
Indonesia, had suggested its evolution into a wider, international security collective in South East Asia,
with a wide range of bilateral and multilateral economic development initiatives also in place between
the various parties. Although now paused and perhaps aborted, a restrictive US trade programme
could undermine stability in South East Asia and place AUKUS members in an invidious position.
“The Indonesian government’s initial approach to the formation of AUKUS, an US-led security
arrangement with the United Kingdom and Australia, was a cautious one due to the partnership’s
potential negative repercussions for regional stability. The Indonesian foreign affairs
ministry’s five-point statement on Australia’s nuclear-powered submarine programme under
AUKUS reflected this cautious stance. However, Indonesia has since recognised that the best
response to AUKUS is to avoid a confrontational approach. Further hesitation or opposition could
jeopardise Indonesia’s prospects of gaining economic benefits and from taking an active
intermediary role amid the great powers’ rivalry in the region”.
(A Pragmatic Path: Indonesia’s Engagement with AUKUS; Muhamad Haripin, Adhi Priamarizki.
Nanyang Technological University, Singapore. 20 November 2024
Almost prophetically, even before President Trump announced a new US tariff and trade policy in early
April, 2025, Australia had voiced concerns regarding the strength of its indigenous defence industry
(or DIB). In particular, its increasing US-orientation over the last two decades.
“Australia kills $5.3B military space program with Lockheed”
““I am sure some companies will seriously consider the business case for dealing with defense as a
customer in the future, which I worry will mean our warfighters will miss out on homegrown
innovations that can make a difference on the battlefield,” Jeremy Hallett, head of the Space
Industry Association of Australia, said in a statement.”
(Breaking Defence, Indo-Pacific, November 2024)
Australia’s announcement of its concerns could now appear untimely given the arrival of a new
administration in the White House. An early indication of American reaction seems to be reflected in
the announcement of a formal review by the Pentagon.
“The Pentagon has launched a review of the 2021 Aukus nuclear submarine deal with the UK and
Australia, throwing the security pact into doubt at a time of heightened tension with China. The
review to determine whether the US should scrap the project is being led by Elbridge Colby, a top
defence department official … Ending the submarine and advanced technology development
agreement would destroy a pillar of security co-operation between the allies ... Australia and
Britain are due to co-produce an attack submarine class known as the SSN-Aukus that will come
into service in the early 2040s. But the US has committed to selling up to five Virginia class
submarines to Australia from 2032 to bridge the gap as it retires its current fleet of vessels. That
commitment would almost certainly lapse if the US pulled out of Aukus.”
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(Demetri Sevastopulo, Financial Times, 11 June, 2025)
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07/07/2025 Richard Hooke 2025

