UK gives BAE US$4.9bil contract for submarines

Big job: The BAE Systems at the Defence and Security Equipment International exhibition in London. The Defence Ministry has awarded it the funding to cover development work to 2028, allowing it to start detailed design work on the submarines. — Bloomberg

MANCHESTER: The United Kingdom awards BAE Systems a £4bil (US$4.9bil) contract as part of the Aukus programme with Australia and the United States to build attack submarines, defence minister Grant Shapps and the company say.

In March, Australia, the United Kingdom and the United States (Aukus) unveiled details of the Aukus plan to provide Australia with nuclear-powered attack submarines from the early 2030s to help counter China’s ambitions in the Indo-Pacific region.