'US, UK, and Australia Unlock Defense Technology Barriers... "Maximizing Response Capability to China"'

Revising US International Traffic in Arms Regulations (ITAR)
Sharing Defense Technologies like Hypersonic Missiles and Underwater Drones

The United States, the United Kingdom, and Australia have dismantled the defense technology barriers they had imposed on each other and are strengthening their security consultation framework, Bloomberg News reported on the 15th (local time).

According to the report, the three countries forming 'AUKUS' agreed on the same day to mutually exempt defense technology export controls to each other. This makes it easier to share sensitive defense technologies that had been restricted even among close allies. As a result, advanced defense technologies in the research phase, such as hypersonic missiles, underwater drones, and nuclear-powered submarines, are expected to accelerate development.

[Image source=Reuters Yonhap News]

AUKUS is a security consultation body in the Indo-Pacific region formed in September 2021 by Australia (AU), the United Kingdom (UK), and the United States (US) to jointly develop nuclear-powered submarines and other advanced technologies. Although the US is the closest security ally to the other two countries, it has strictly limited sharing of defense technologies protected under the International Traffic in Arms Regulations (ITAR) and has required them to establish export control systems equivalent to those of the US.

Strict export controls are advantageous for security but pose problems by delaying technology development and production. The UK government estimated that the costs arising from the ITAR system amount to about 450 million pounds annually. In particular, the US issues about 3,800 defense export control licenses to Australia each year, with approval taking up to 18 months, resulting in significant time costs.

Consequently, some have pointed out that China is surpassing the US in advanced technology fields such as hypersonic missiles and quantum computing, and there have been ongoing calls for the three countries to simplify their defense industry collaboration system. With this agreement, starting from the 1st of next month, 70% of ITAR-applied defense technologies and products exported from the US to Australia will be allowed for export without a license. The Australian government stated that approximately 900 weapon and defense technology licenses worth 3.3 billion dollars will be exempted. The UK government also estimated that it would receive export benefits worth 643 million dollars from this ITAR revision.

A UK official described this reform as a "big deal," noting that it is aimed at enabling the UK, Australia, and the US to maximize competitiveness against China.

Richard Marles, Australia's Minister for Defence, called it a "reform of the century," evaluating that "through innovation in defense trade, the three countries will be able to cooperate at the speed and scale necessary to respond to the challenging situations they face."

Charles Edel, Chair of the Australia office at the Center for Strategic and International Studies (CSIS), said, "The goal of this regulatory reform is to generate greater cooperation, innovation, and investment in defense capabilities," adding, "The effectiveness of the reform will depend more on how the private sector responds than on statements from the three governments."

The US Department of State is scheduled to announce a draft of the final rule easing weapons and technology trade restrictions among the three countries on the 20th. However, technologies of high strategic importance, such as nuclear propulsion and quantum navigation systems, will still require authorization.

This content was produced with the assistance of AI translation services.