Australia will put up billions of dollars to help Rolls-Royce improve the UK’s nuclear reactor production line.

Australia has committed nearly $5 billion to the UK through the AUKUS pact for the enhancement of British production lines dedicated to Australia’s first nuclear-powered submarines. 

British firm BAE Systems will partner with Australia’s ASC Pty Ltd for the collaborative AUKUS-class submarine, to be utilised by both the Australian and British navies.

A newly-announced partnership should begin construction of its first submarine by the decade's end, with an introduction to service slated for the early 2040s. 

ASC is additionally tasked with the upkeep of second-hand Virginia-class submarines acquired from the US in the 2030s, alongside the domestically produced vessels.

This corporate strategy should see a shipbuilding resurgence in Adelaide, including a $2 billion submarine yard design. The government is forecasting employment for 4,000 people at the construction's peak. The project is expected to generate approximately 20,000 jobs nationwide, supporting engineering, maintenance, and the supply chain.

The investment will also pay for a significant expansion of the Rolls-Royce plant in the UK’s Midlands for additional nuclear reactors.

In conjunction with the submarine program, Australia has joined the UK-led Drone Coalition to support Ukraine, highlighting the evolving role of drones in modern conflict and the collective effort to bolster Ukraine's defensive capabilities against Russian aggression.