The Pentagon – U.S. Defense Secretary Pete Hegseth welcomed Australian Defense Minister Richard Marles to the Pentagon on Friday, following Australia’s first $500 million payment to the United States as part of the AUKUS nuclear submarine deal involving Washington, Canberra, and London.
“The check did clear,” Hegseth joked with Marles and reporters ahead of their meeting.
Marles emphasized that the “strength of American leadership” in the Indo-Pacific region is “critically important” for Australia. He noted that the AUKUS submarine deal also signifies an increase in Australian defense spending.
“We truly recognize the importance of building our capability while also paying our way,” Marles stated to Hegseth.
Notably, Marles was the first foreign defense counterpart hosted by Hegseth since his confirmation.
U.S. and Australian officials confirmed that Australia transferred the $500 million after a conversation between Marles and Hegseth late last month.
AUKUS is a trilateral partnership that was announced in September 2021 by Australia, the U.K., and the U.S. to promote a “free and open Indo-Pacific” in response to rising Chinese aggression.
The inaugural initiative under AUKUS aims to bolster the U.S. submarine industrial base, enabling Australia to acquire nuclear-powered attack submarines for the Royal Australian Navy. It also facilitates the rotational basing of American and British nuclear submarines in Australia.
