A historic breakthrough in defence trade between the United Kingdom, the United States, and Australia was announced on 15 August 2024, according to a press release from the Ministry of Defence.
This marks a significant shift in how these nations collaborate on next-generation technologies and military capabilities.
The agreement, which involves lifting certain export controls and restrictions on technology sharing, is expected to cover up to £500 million in UK defence exports annually and facilitate billions of dollars in trade across the three nations.
Under the new framework, the UK’s AUKUS Nations Open General Licence, a US exemption to the International Traffic in Arms Regulations (ITAR) for the UK and Australia, and new national exemptions within Australia’s export control framework, will significantly reduce the need for licences when exporting or sharing specific defence products, technical data, and services.
Defence Secretary John Healey described the announcement as a critical development in the current global climate: “As tensions increase, and conflicts continue around the globe, our partnerships with our allies are critically important. This is a breakthrough that will allow our three nations to deepen our collaboration on defence technology and trade.”
Foreign Secretary David Lammy echoed the sentiment, stating: “Today’s historic announcement demonstrates how AUKUS is taking our relationship with the US and Australia to even greater heights. By breaking down barriers to defence trade and cooperation, we’re unlocking huge opportunities for UK jobs and growth—while bolstering global security and stability.”
The changes aim to streamline collaboration between scientists, engineers, and defence industries across the three nations, paving the way for faster, more efficient joint efforts in developing advanced military capabilities.
Kevin Craven, CEO of ADS Group, highlighted the agreement’s significance for the UK defence sector: “This is a potentially groundbreaking moment for the UK defence sector, widening our access to our closest allies and increasing opportunities for international trade.”
