Australia’s Defence Strategic Review: What you need to know

Australia’s defense force is ill-suited to respond to the threat of military force or coercion, a large-scale study of the country’s capabilities has found.

The force is about to undergo its biggest overhaul in decades, with billions poured into arming the country with long-range missiles capable of firing more than 500 km — amid China’s massive military expansion.

The government has accepted, or accepted in principle, all the recommendations of the Defense Strategic Review, which showed that Australia as it stands is ill-equipped to defend itself against conflicts in the region.

Prime Minister Anthony Albanese and Defense Secretary Richard Marles told reporters after a redacted version of the review was released Monday that the cost of implementing their recommendations would be about $19 billion over the next four years.

Mr. Marles said next month’s federal budget would cover much of these immediate costs, which would include redirecting $7.8 billion from other programs.

China’s rapid military buildup, the decline of the United States as a unipolar power in the Indo-Pacific, nuclear war, climate change, personnel problems and the increase in gray zone attacks such as cyber-attacks have all been identified as threats to the safety.

Former Defense Secretary Stephen Smith and ex-Chief of the Armed Forces Angus Houston, who led the independent review, said the new challenges required “an urgent call to action.”

That included higher levels of military preparedness and accelerated capability development, they wrote, as well as the creation of a “fuel safety council” to protect the country’s fuel supplies.

“The intense competition between China and the United States is the defining characteristic of our region and our time. Strong competition for power in our region could threaten our interests, including the potential for conflict,” they wrote.

“Australia has no effective defense capabilities relative to higher-level threats.”

The defense force has been given five main tasks: to defend Australia and the immediate region; deter an attempt to project power against the nation; protection of economic connections such as trade routes; contribute to collective security with partners; and maintain global rules-based order.

The government has responded to the review by immediately canceling six projects, postponing a further six and redefining the scope of 21 others.

The government will reduce the majority of new infantry fighting vehicles from 450 to 129 and increase long-range missile capabilities from a maximum range of 45 km to more than 500 km.

The Australian Defense Force is about to undergo its biggest overhaul in decades. Pictured is the Arleigh Burke-class guided missile destroyer USS Barry launching a Tomahawk cruise missile in support of Joint Task Force Odyssey Dawn in the Mediterranean Sea

It has also supported in principle equipping fighter jets with long-range anti-ship missiles.

“The government is making the hard decisions necessary to cancel or re-prioritize defense projects and activities that are no longer suitable for our strategic circumstances,” the prime minister and defense minister said in a statement.

Some of the review’s more than 100 recommendations, details of others, and some government responses have been kept secret.

The six new priority areas include procurement of nuclear-powered submarines, developing the ability to accurately hit targets at greater ranges, and building ammunition locally and improving the defense’s ability to operate from northern Australia.

The main cost of reprioritizing projects is $19 billion over four years, which will be offset by canceled projects and savings already found by moving to nuclear-powered submarines through the AUKUS Pact.

Growing and maintaining a highly skilled defense force, working closely with Australian industry and deepening diplomatic relations in the region, including through ASEAN and the Pacific Islands Forum, have also been identified as priorities.

The Defense Strategic Review found that Australia was unprepared to defend itself against conflict in the region. Pictured are fuel tankers moored in Newcastle harbor north of Sydney

An inaugural national defense strategy will be developed in 2024 and updated every two years.

An independent assessment of the Navy’s combat fleet will also be conducted by the end of next year — which the assessment says “should have increased lethality,” while options for guided weapons and explosives will be delivered by mid-2024.

It also recommends better preparing the defense force for natural disasters and increasing fuel security, including the transition of defense to clean and renewable energy.