US reviews Biden-era deal that commits submarines to Australia

The United States is reevaluating its stay in the AUKUS agreement—signed under the Joe Biden administration—that committed the country to selling nuclear-powered submarines to Australia. This comes amid growing concerns about domestic defense industry capacity and the need to prioritize homegrown military readiness.

"The Department is reviewing AUKUS as part of ensuring that this initiative of the previous Administration is aligned with the president’s ‘America First’ agenda," a senior Defense official confirmed, referring to the new strategic approach that seeks to prevent allies from relying on sacrificing our military capabilities.

Submarines for others, while lacking at home

The deal, presented by Biden as a strategy to contain China in the Indo-Pacific, involved Australia receiving U.S. Virginia-class submarines starting in the next decade, even though the United States still struggles to produce enough units for its own fleet.

Pentagon policy chief Elbridge Colby warned bluntly: "If we can produce the attack submarines in sufficient number and sufficient speed, then great. But if we can’t, that becomes a very difficult problem because we don’t want our servicemen and women to be in a weaker position."

In other words, as Beijing forges ahead with a shipbuilding capability 230 times greater than the U.S., the priority should be strengthening the national fleet, not exporting it.

An agreement under review, not cancelled

Although the Pentagon has not formally cancelled the commitment, the ongoing review reflects a shift in priorities. The new approach seeks to condition multilateral commitments on strengthened national capabilities and an equitable contribution by allies.

For now, the future of AUKUS is on hold. The White House and the Department of Defense will have to decide whether the agreement remains a useful tool to contain China or a liability incompatible with their immediate capabilities and objectives.