The United States is seeking US$5.7 billion in emergency funding to boost production of Virginia-class nuclear submarines, ahead of AUKUS plans for Australia to acquire the vessels.
Around US$3.5 billion of this funding will cover the excess construction costs for three submarines, while $2.2 billion will be used to increase productivity at shipyards.
“We’ve had some first-time quality issues, both at the shipbuilders and suppliers and our workforce attrition, proficiency and efficiency all have to improve,” said Jonathan Rucker, the U.S. Navy’s program executive officer for attack submarines, this month.
The U.S. Navy is set to produce 1.3 submarines this year. According to Rucker, the production rate before the pandemic was 1.85 submarines per year, until supply chain issues began.
The Navy’s goal is to produce two Virginia-class submarines and one Columbia-class submarine each year, as well as an additional submarine every three years to be sold overseas.
Australia is set to receive Virginia-class submarines in the 2030s under the AUKUS pact, with submarines from the U.S. and United Kingdom starting to operate in Western Australia in 2027.
Under the deal, authorised in 2023, Australia can also request up to two more submarines if needed.
Australia previously agreed to invest A$4.62 billion to boost the U.S.’s submarine production.
The U.S. request was delivered to Congress this week from the Office of Management and Budget. "This request demonstrates the bipartisan commitment in the US to uplifting its industrial base, a critical enabler for delivering AUKUS,” a spokesperson for the Australian Submarine Agency said.