US. controls on sensitive defence exports, relaxed for AUKUS partner Australia last year, still apply to submarines, creating hurdles to defence industry collaboration on U.S. Virginia-class sub production, officials and executives said.
Whether the United States can overcome production delays to meet U.S. Navy targets is key to whether
Australia can buy three Virginia-class nuclear powered submarines under AUKUS, Defence Minister Richard Marles said last month. Australia faces a 2025 deadline to pay $2 billion of the $3 billion it has pledged to improve the U.S. submarine industrial base.