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Australia Partners with Japan's Mitsubishi for $6.5 Billion Warship Fleet

Strategic Defense Collaboration Strengthens Australia-Japan Ties

Australia Partners with Japan's Mitsubishi for $6.5 Billion Warship Fleet?w=400

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In a landmark decision, Australia has awarded a AU$10 billion (US$6.5 billion) contract to Japan's Mitsubishi Heavy Industries for the construction of 11 Mogami-class frigates.
This agreement signifies the most substantial defense industry collaboration between the two nations to date.

The selection of Mitsubishi's bid over Germany's Thyssenkrupp Marine Systems underscores Australia's commitment to enhancing its naval capabilities with advanced technology. The Mogami-class frigates are equipped with 32 vertical launch cells and are designed for operation with smaller crews, offering both efficiency and formidable defense capabilities.

Under the terms of the contract, the initial three frigates will be constructed in Japan, with the first expected to be operational by 2030. The remaining eight vessels will be built domestically in Australia, fostering local industry growth and expertise.

This strategic partnership not only bolsters Australia's naval strength but also deepens defense ties with Japan, especially in the context of regional security dynamics in the South China Sea. The collaboration is anticipated to enhance interoperability between the Australian and Japanese navies, facilitating joint training exercises and operations.

Defense Minister Richard Marles highlighted the significance of this deal, stating, "This is clearly the biggest defense industry agreement that will ever have been struck between Japan and Australia." The agreement is part of Australia's broader AU$55 billion naval modernization initiative, reflecting a proactive approach to national security and regional stability.

For Australians considering marine investments, such as jet skis, this development may influence the broader marine industry, potentially affecting manufacturing standards, technological advancements, and even financing options. Staying informed about such significant industry shifts can aid in making well-informed purchasing and financing decisions.

Published:Thursday, 22nd Jan 2026
Source: Paige Estritori

Please Note: If this information affects you, seek advice from a licensed professional.

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Australia Partners with Japan's Mitsubishi for $6.5 Billion Warship Fleet
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