Australia picked Japan’s $6.5BN frigate in landmark defence pact

Mitsubishi Heavy Industries logo is seen in this illustration taken 26 July, 2025.
Reuters

Japan has secured a significant $6.5 billion defence deal with Australia to build next-generation warships, the Australian government announced on Tuesday.

Japan has secured a significant $6.5 billion defence deal with Australia to build next-generation warships, the Australian government announced on Tuesday. 
In a meeting of the Australian government’s national security committee on 5 August, Mitsubishi Heavy Industries’ (MHI) Mogami frigate was selected over German company ThyssenKrupp Marine Systems’ MEKO A-200. 


According to the contract, MHI will provide the Royal Australian Navy with 12 advanced Mogami-class multi-role frigates, with the first one ready by 2029. Three more will be in the water by 2034. The remaining eight ships are expected to be constructed by Austal in Western Australia state.
Japan’s Minister of Defense Gen Nakatani said "The benefits include enhanced joint operations and interoperability with both Australia and the United States” at a briefing in Tokyo. 


Capabilities
The highly automated naval vessels are designed to hunt submarines, strike surface ships, provide air defences and can be operated by just 90 sailors - less than half the crew needed for the current vessels.  
Deputy Prime Minister Richard Marles said that the upgraded version of Mogami-class frigate will be capable of launching long-range missiles and has a range of up to 10,000 nautical miles, compared to Australia's current Anzac Class frigates, which can sail around 6,000 nautical miles. 


Protecting trade routes
Australia said it plans to deploy the new ships to protect critical maritime trade routes along its northern approaches in the Indian and Pacific Oceans. 
Japan has emphasized the frigate sale as a further step in its efforts to form security ties beyond its alliance with the U.S. It seeks to counter China’s expanding military power in Asia. 


Previous nuclear submarine deals
The deal follows a previous rejection of Japan’s submarine bid in 2016 to Australia, when Canberra chose French submarines over Japan’s. However, that project was scrapped in 2023, opting instead to build nuclear-powered submarines with the United States and Britain under the AUKUS pact - a trilateral security partnership between those three countries - announced in September 2021.
This will be Australia’s largest naval purchase since the signing of the AUKUS nuclear submarine agreement 5 August 2024.

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