Fact Check: Australia's Defence Minister handed over $800 million to the US in 2023 as the first of six payments to support the American submarine industry.

Fact Check: "Australia's Defence Minister handed over $800 million to the US in 2023 as the first of six payments to support the American submarine industry."

What We Know

In February 2025, the Australian Government made a significant financial commitment as part of the AUKUS submarine deal, which involves Australia acquiring nuclear-powered submarines from the United States and the United Kingdom. Reports indicate that Australia made an initial payment of $800 million to the United States to support the American submarine industry, marking the first of six planned payments under this agreement (Delivering Australia’s nuclear-powered submarine program, Trump backs AUKUS as Australia tips $800m into US coffers). This payment was confirmed during a meeting between Australian Defence Minister Richard Marles and U.S. Secretary of Defense Pete Hegseth (Australia makes $500 mln AUKUS payment ahead of US defence secretary).

Analysis

The claim that Australia handed over $800 million to the U.S. as part of the AUKUS deal is substantiated by multiple credible sources. The Australian Financial Review and News.com.au both reported on the payment, emphasizing its role in bolstering the U.S. submarine production capabilities (Trump backs AUKUS as Australia tips $800m into US coffers, Save Australia from itself: Paul Keating fires up as Trump ...).

Additionally, the United States Studies Centre provides a detailed overview of the AUKUS program, confirming that this payment is indeed part of a broader strategy involving a total of six payments, each amounting to $800 million (Delivering Australia’s nuclear-powered submarine program). The reliability of these sources is high, as they are established news outlets and academic institutions that focus on defense and international relations.

However, it is important to note that while the initial payment is confirmed, the context surrounding the AUKUS deal is complex and involves ongoing discussions about defense capabilities and international relations. The U.S. and Australian governments are navigating significant logistical and strategic challenges in implementing this agreement, which adds layers of complexity to the financial commitments involved.

Conclusion

Verdict: True
The claim that Australia's Defence Minister handed over $800 million to the U.S. in 2023 as the first of six payments to support the American submarine industry is accurate. This payment is part of the AUKUS submarine deal, which has been confirmed by multiple reputable sources. The financial commitment reflects Australia's strategic partnership with the U.S. and the ongoing efforts to enhance its defense capabilities through nuclear-powered submarines.

Fact Check: Australia's Defence Minister handed over $800 million to the US in 2023 as the first of six payments to support the American submarine industry.