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Australian Envoy Says US Shipbuilding Shortfall Could Threaten AUKUS Submarine Deliveries

He warned that US yards are producing far fewer Virginia-class boats than the Navy says are needed to meet Australia’s planned 2032 deliveries.

Overview

  • Joe Hockey told the National Press Club he is “a little nervous” about whether the three Virginia-class submarines Australia expects under AUKUS will arrive on time and urged intensified political pressure in Washington.
  • Current reporting places US submarine output at about 1.2 boats a year while US Navy leaders say a 2.3 boats-per-year build rate is needed to free up vessels for Australia.
  • The US Navy’s chief of naval operations, Daryl Caudle, has framed the 2.3 build rate as essential to delivering on AUKUS obligations and to meeting allied expectations.
  • Australian military and government figures, including Chief of Navy Mark Hammond, say AUKUS remains on track and caution against adopting a formal ‘plan B’ or politicising the program.
  • Meeting the higher build rate will require large increases in US shipyard capacity, skilled workers and supply-chain integration, so the key things to watch are US procurement decisions, allied industrial cooperation and diplomatic lobbying in Washington.