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Home»Asia»Defense white paper: Australia joins Asian arms race with spending on arms and military forces to reach $195 billion
Asia

Defense white paper: Australia joins Asian arms race with spending on arms and military forces to reach $195 billion

skywitnessBy skywitnessApril 9, 2026No Comments4 Mins Read
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Australia will embark on a decade-long arms and military force campaign to defend its land, sea, sky and space against rapidly growing Asian military forces.

Key points:

  • Australia increases military spending in response to growing tensions in Asia
  • Expenditures up by nearly $30 billion
  • Climate change and terrorism also listed as threats
  • Defense spending will increase even if GDP falls

The 2016 Defense White Paper charts a path to achieving a total of $195 billion in defense capabilities or equipment by 2020-21, as well as a larger military force of 62,400, the largest in a quarter century.

Australian Abrams battle tank

The Defense White Paper comes with a strong sales pitch, but previous editions have often missed the mark, writes Greg Jennett.

Joining a mini arms race in the Asian region, the White paper promises construction of 12 submarines at a cost of more than $50 billion between 2018-2057.

However, maintenance costs will significantly increase this $50 billion budget.

The navy will receive a quarter of all new capability spending, with nine new anti-submarine warfare frigates and 12 offshore patrol ships.

The RAAF will build two drone fleets while bringing its eventual fleet of 75 Joint Strike Fighters online.

The military will claim 18 percent of all additional equipment spending, purchasing armed drones, new protected vehicles to transport troops, helicopters for special forces and a long-range rocket system.

Underscoring the sense of urgency in renewing Australia's defense power, the government aims to increase spending by up to 2 per cent of GDP by 2020/21 – earlier than promised – representing an overall increase of $29.9 billion.

Defense officials told the ABC the White Paper reflected Australia's “growing unease” with China's military activity.

Read the Defense White Paper here

Climate change and terrorism listed as threats

Prime Minister Malcolm Turnbull said the government was committed to “significantly increasing spending” due to regional challenges as well as the threat of climate change and terrorism, among other issues.

Addressing climate change was not planned under the Abbott government.

“Over the next two decades, half of the world's submarines and at least half of the world's advanced combat aircraft will operate in the Indo-Pacific, in our region, complicating the outlook for our security and strategic planning,” Mr Turnbull said.

“We would be concerned if competition for influence and growth in military capabilities led to instability and threatened Australia's interests, whether in the South China Sea, the Korean Peninsula or further afield. We have a strong, vital and direct interest in maintaining peace, stability and respect for the rule of law.”

The language of the White Paper shows that Australia must increase the “strength and agility” of its forces in the face of rising wealth and power in Asia, coupled with the strategic tension already arising between China and the United States.

“Territorial conflicts… have created uncertainty and tension in our region,” notes the White Paper.

Fact check: Labor defense spending

Before the publication of the Defense White Paper, Malcolm Turnbull said that “under Labor, defense spending as a share of GDP has fallen to its lowest level since 1938.” Fact Check investigates.

“Some issues that previous defense white papers have described as long-term issues, such as the impact of modernization in our region, now fall within the scope of this white paper.”

Australia continues to partner militarily with the United States, seen as “remaining the preeminent global power for the next two decades”.

The white paper aims to deepen Australia's alliance with America, including relocating a US spy telescope known as the “Optical Space Surveillance Telescope” to Exmouth, Western Australia.

With a view to increasing defense funding to 2 percent of GDP, the government will also “decouple” its military spending from the general health of the economy, so that even if growth slows, defense will still receive its 2 percent share.

The US Ambassador to Australia, John Berry, described the White Paper as a “comprehensive and thoughtful approach to meeting the evolving security challenges of the decades to come”.

“As allies, we welcome the government's continued investment in defense capabilities and preparedness and its support for a rules-based international order,” he said.

HMAS Sydney 4

The navy will receive a quarter of all new capability spending, with nine new anti-submarine warfare frigates and 12 offshore patrol ships. (marine.gov.au)

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