Australia will spend an initial Aus$12 billion (US$8 billion) to upgrade shipyard facilities for a future fleet of nuclear-powered submarines, the government said Sunday.
The "very significant" investment is to be spent over a decade to transform a shipbuilding and maintenance precinct in Perth, Western Australia, Defence Minister Richard Marles said.
The government is ploughing money into Perth's Henderson Defence Precinct after signing the 2021 AUKUS pact with Britain and the United States to arm its navy with nuclear-powered submarines.
The investment is part of a major military restructure to improve Australia's long-range strike capabilities in the face of China's expanding military strength across the Pacific.
Australia, which has no infrastructure to service nuclear-powered subm