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- Australia says US missile purchase shows commitment to defence spending</p>
<p>July 3, 2025 at 4:29 AM</p>
<p>SYDNEY (Reuters) -Australia said its A$2 billion ($1.3 billion) purchase of supersonic missiles from the United States underscores its commitment to defence spending, though Prime Minister Anthony Albanese has resisted U.S. calls to agree to a target of 3.5%.</p>
<p>Minister for Defence Industry Pat Conroy on Thursday confirmed the purchase of AIM-120C-8 and AIM-120D-3 missiles, developed by American defence company Raytheon Technologies.</p>
<p>They will be used by Australia's F/A-18 and F-35 fighter jets and a new army brigade focused on striking aerial targets up to 500 kilometres away, he added.</p>
<p>Albanese, who is yet to meet President Donald Trump, has rebuffed a U.S. request to agree to lift long-term defence spending to 3.5% of gross domestic product. It's forecast to rise to 2.3% by 2033.</p>
<p>Foreign Minister Penny Wong, who met with her U.S. counterpart Marco Rubio on Tuesday in Washington, said Australia took a "capability approach" and had already committed to the largest peacetime increase in defence funding.</p>
<p>"I know there will be more capability required, I think we all understand that, and we will fund the capability Australia needs," she said on Thursday in a television interview with Sky News Australia.</p>
<p>Albanese's scheduled meeting with Trump on the sidelines of the G7 was cancelled when Trump left the summit early due to tensions between Israel and Iran.</p>
<p>Wong said the security allies were working to reschedule a leaders' meeting.</p>
<p>Seeking to respond to China's build-up of its military, Albanese pledged A$74 billion ($47 billion) last year to buy missiles from Europe and the U.S., including A$21 billion to establish a Guided Weapons and Explosive Ordnance Enterprise in Australia.</p>
<p>The sale of 400 missiles to Australia through the U.S. foreign military sales program was notified to the U.S. Congress in April. A further $2 billion proposed sale of U.S. electronic warfare systems and equipment for Australia's F/A-18 Super Hornet and EA-18 Growler fighter jets was notified in June.</p>
<p>($1 = 1.5223 Australian dollars)</p>
<p>(Reporting by Kirsty Needham in Sydney; Editing by Edwina Gibbs)</p>
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