Australia has made a second major payment of $800 million (A$800 million/$525 million USD) to the United States as part of the AUKUS nuclear submarine agreement, bringing its total contribution to $1.6 billion.
This comes as the Trump administration launches a review of the pact to ensure it aligns with its 'America First' agenda, raising uncertainty about the deal's future. Despite bipartisan support from US lawmakers and strong backing from Australian opposition leaders, the deal faces mounting criticism at home over its cost, strategic value, and Australia's dependence on US defense policy. The payments are intended to boost US submarine shipbuilding capacity, but questions remain about whether the project will proceed as planned.
The AUKUS pact is seen as central to Australia's defense strategy in the Indo-Pacific amid growing concerns about China's military rise.
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