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Australia and Japan seal $6.5B warship deal with 3 Mogami frigates ordered first

MELBOURNE, Australia (AP) 鈥 Australia and Japan signed contracts on Saturday to deliver the first three of a 10 billion Australian dollar ($6.5 billion) fleet of Japanese-designed warships, with the first due for delivery in three years.

Mitsubishi Heavy Industries will build the first three Mogami-class frigates in Japan. Australia plans to build another eight in a shipyard in Western Australia state.

Japanese Defense Minister Shinjiro Koizumi and his Australian counterpart attended a signing ceremony aboard the Mogami-class frigate JS Kumano, which is part of the Japan Maritime Self-Defense Force, docked off the Australian city of Melbourne.

The Kumano had taken part in the recent Exercise Kakadu, biennial multinational maritime drills hosted by Australia.

in August last year that the Japanese bid had won the contract to provide Australia鈥檚 next generation of general purpose frigates over Germany鈥檚 MEKO A-200 from Thyssenkrupp Marine Systems. The deal gave a major boost to Japan鈥檚 still-underdeveloped defense industry after it lost out on Australia鈥檚 submarine contract to a French company in 2016.

The Japanese-designed fleet will replace Australia鈥檚 ageing ANZAC-class frigates that are considered increasingly vulnerable to modern missile and drone attack.

Marles said the Japanese frigates were a major step toward delivering Australia with a larger and more lethal surface combat fleet. The first of the Mogami-class frigates is due to arrive in Australia in 2029.

鈥淭he timeframe that we鈥檝e announced is the fastest acquisition of a surface combatant into service in the Royal Australian Navy ever, and so this is a very rapid timeframe,鈥 Marles told reporters.

Japan has been accelerating its military buildup while expanding its defense ties beyond its only treaty ally, the United States. It now considers Australia to be a semi-ally.

Marles said Australia welcomed Japan鈥檚 relaxation of export controls on defense equipment and technology with 鈥渢rusted partners like Australia.鈥

鈥淛apan is an industrial powerhouse and it offers so much opportunity for Australia and the development of our own defense industry as the Mogami project represents,鈥 Marles said.

Koizumi said that the introduction of Japanese vessels into the Australian navy meant 鈥渁 major step is finally being taken to elevate our bilateral defense cooperation to a greater height.鈥

He said Japan continued to be Australia鈥檚 鈥渋ndispensable partner鈥 in a new announced this week, in which AU$53 billion ($38 million) will be added to the defense budget over a decade.

Koizumi said a 鈥渄ecisive factor鈥 in Australia choosing the Japanese frigate was that it could be operated with just 90 personnel, around half the crew of Australia’s current ANZAC-class version.

Australia says its Mogami-class frigates will be equipped with surface-to-air and anti-shipping missiles and could operate combat helicopters. They will be crewed by 92 sailors and officers.

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