U.S. approves potential $975 million HIMARS sales to Australia
- August 19, 2023
- Posted by: Quatro Strategies
- Categories: Aerospace & Defense, Asia Pacific, United States
The Biden administration has revealed its intention to sell High Mobility Artillery Rocket Systems (HIMARS) to Australia in a deal valued at up to A$1.5 billion ($975 million). This move is part of the effort to strengthen the alliance between the United States and Australia and counter China’s expanding military presence in the Indo-Pacific region.
The proposed sale includes 22 M142 High Mobility Artillery Rocket Systems, 60 Guided Multiple Launch Rocket Systems, and various other munitions. However, the sale still requires approval from the US Congress and finalization of contracts.
The State Department has stated that Australia intends to use this capability to enhance its homeland defense and safeguard critical infrastructure. They also mentioned that the sale would not significantly alter the military balance in the region.
The US and Australia have been working to enhance their military cooperation, especially in response to the growing influence of China’s military capabilities. In July, both countries announced plans to increase the US military presence in Australia, which includes more frequent visits by US submarines and collaboration on guided missile production.
This move aligns with President Joe Biden’s focus on strengthening relationships with allies and addressing security challenges posed by China. The upcoming visit of Australia’s Prime Minister Anthony Albanese to the US in October is expected to further solidify these efforts.
Interested in learning more?
Sign up for Top Insights Today
Top Insights Today delivers the latest insights straight to your inbox.
You will get daily industry insights on
Oil & Gas, Rare Earths & Commodities, Mining & Metals, EVs & Battery Technology, ESG & Renewable Energy, AI & Semiconductors, Aerospace & Defense, Sanctions & Regulation, Business & Politics.
Read more insights
Trump tariffs push China’s ethane-fed plastics plants toward collapse
China’s plastics industry is facing a crisis as it collides with the hard edges of U.S. President Donald Trump’s sweeping tariff regime. A niche but crucial segment of the country’s chemical manufacturing base — ethane-fed plastics plants — is particularly exposed, with no short-term fix in sight.
Chinese “ethane crackers,” which process imported ethane gas into ethylene — the building block for a wide range of plastics — are in danger of shutting down. Nearly all of their feedstock comes from the United States, making them vulnerable to the Trump administration’s 125% tariffs on U.S. imports, which came into effect earlier this month. These steep duties have turned once-profitable operations into loss-making ventures almost overnight.
EU unveils plan to utilize frozen Russian assets to support Ukraine’s military needs
The European Union’s High Representative for Foreign Affairs and Security Policy, Josep Borrell, presented a plan on Wednesday to utilize proceeds from sanctioned Russian central bank assets to support Ukraine’s military requirements. According to Borrell, under this proposal, 90% of the windfall…
German construction sector faces contraction in 2024 amid ongoing property crisis
The German construction sector faces a challenging outlook in 2024, as indicated by two prominent research institutes, the DIW economic institute and the Ifo economic institute. According to a DIW study, German construction spending is projected to decline in 2024, marking the first…