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Significance

Canberra recognises that the change of administration in Washington may have implications for the future of the AUKUS arrangement but is optimistic that its transactional nature will ensure its continuation.

Impacts

Australia’s submarine capabilities will be limited in the near term as maintenance issues increase with its ageing diesel-powered fleet.

Procurement of nuclear-powered submarines will help Australia keep pace with expanding submarine capabilities across the region.

US congressional support should be able to shield the submarine-related elements of AUKUS from plans to reduce federal spending.

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