Washington: Australia and the US announced bilateral investments worth billions of dollars in critical minerals, defense cooperation, and technology during Australian Prime Minister Anthony Albanese's White House visit Monday. The two countries signed a critical minerals and rare earths agreement that includes plans for projects worth a total of up to $8.5 billion, Albanese said as he met with US President Donald Trump.
According to Anadolu Agency, Albanese praised bilateral ties, stating that Canberra will "continue to take every opportunity to improve the relationship even further." He emphasized that today's agreement on critical minerals and rare earths takes their partnership to the next level. He noted that both parties would contribute $1 billion over the next six months to projects that are immediately available. These projects are categorized into joint ventures, US-led investments within Australia, and Australian-run projects.
Albanese highlighted that the effort is part of Canberra's Future Made in Australia plan, aimed at strengthening supply chains with allies and adding value by processing rather than merely exporting raw materials. The White House announced that the two governments plan to jointly invest over $3 billion in critical mineral projects in the next six months, aiming to unlock an estimated $53 billion worth of resources. The US Export-Import Bank will provide over $2.2 billion in financing, unlocking $5 billion in total investment for supply chain security.
Additionally, the US Defense Department will fund the construction of a 100-ton-per-year gallium refinery in Australia. Albanese also stressed the significance of the AUKUS defense partnership between Australia, the UK, and the US, which includes providing at least three Virginia-class nuclear-powered submarines to Australia, with the first deliveries starting in 2032.
The White House confirmed that Australia agreed to purchase $1.2 billion in unmanned underwater vehicles and $2.6 billion in Apache helicopters. Canberra will also contribute $1 billion toward expanding US submarine industrial capacity by the end of 2025, in addition to $1 billion since February. Furthermore, Australia is investing $2 billion in US companies for its Joint Air Battle Management System.
According to the White House, Australian pension funds will increase US investments to $1.44 trillion by 2035, nearly $1 trillion above current levels. NASA and the Australian Space Agency have signed a framework agreement, with Australia providing a lunar rover for NASA's Artemis moon program. Both nations agreed to develop a Technology Prosperity Deal focusing on artificial intelligence, quantum computing, and other critical technologies.
Although the two leaders have had four phone calls since Trump's reelection in November 2024, and they also met briefly on the sidelines of the UN General Assembly in New York last month, Monday's meeting marked their first formal sit-down. Australian exports to the US face a 10% tariff under Trump's worldwide tariff policy.