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Australia, Japan Sign Contracts to Start $7 Billion Warship Deal

On April 17, 2026, Australia and Japan formalized agreements for a $7 billion defense project to construct upgraded Mogami-class frigates, aimed at bolstering maritime security amid rising regional tensions.

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Billy Ethan Jr

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Australia, Japan Sign Contracts to Start $7 Billion Warship Deal

Australia and Japan have officially signed contracts for a $7 billion project aimed at constructing upgraded Mogami-class frigates for the Royal Australian Navy (RAN). This deal will see the initial three vessels built in Japan, with the remaining eight constructed in Australia, enhancing collaboration between the two nations in defense capabilities.

The agreement was signed by Australian Defense Minister Richard Marles and Japanese Defense Minister Shinjirō Koizumi in Victoria. While the formal signing took place recently, insiders indicated that negotiations were effectively concluded as early as last month.

The Mogami-class frigates are designed for multiple roles including anti-submarine warfare, surface warfare, and air defense. These highly automated ships will significantly upgrade the capabilities of Australia's aging Anzac-class fleet, with a crew requirement of just 90 sailors, underscoring their advanced design.

These ships are expected to have a range of 10,000 nautical miles and will be equipped with a 32-cell vertical launch system for surface-to-air and anti-ship missiles, providing Australia with enhanced maritime operational capability in the face of increasing tensions in the Indo-Pacific region.

The deal signals Japan's ongoing shift away from post-war pacifism and reinforces bilateral ties as both nations seek to counterbalance China's growing military presence. The first of the three frigates is anticipated to be delivered by 2029, serving as a critical investment in regional defense infrastructure.

This partnership could further solidify Japan's defense industry ties to Australia, facilitating greater defense collaboration in the years to come.

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