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Weekly Media and Intelligence Report 15/11/24

  • Fallout from the US election win by Republican Donald Trump continued as the world prepares for a disruptive US administration. Prime Minister Anthony Albanese and Opposition Leader Peter Dutton have both responded calmly to the election result. This is despite the Trump campaign promise to impose tariffs of up to 20 per cent on all goods entering the US (Australia included) and 60 per cent on Chinese goods. Mr Dutton has urged the Prime Minister to leverage the special alliance between the two countries to secure a no-tariff deal with President Trump. The pressure is on given former Liberal Prime Minister Malcolm Turnbull won concessions on Australian steel from the US President. The Prime Minister is also under pressure to dump former Prime Minister, Dr Kevin Rudd as Ambassador to the United States over previous comments where Mr Rudd referred to President Trump as a “village idiot’’.  A longtime staffer of President elect Trump, Dan Scavino tweeted an image of an hourglass running out in response to Dr Rudd’s congratulatory tweet of Trumps’ victory. The tweet may be intended to indicate Dr Rudd’s days in Washington were numbered. Mr Trump appointed Fox newscaster and US Army veteran Peter Hegseth as his Secretary for Defence. Hegseth is a Defence Hawk who has raged against “woke” practices in the US defence force. President Trump has also vowed to fire “woke’’ generals in the defence force.
  • The Albanese Government has taken the next step towards building the nation’s conventionally armed, nuclear-powered submarines, through a tripartite agreement between the Australian Submarine Agency, ASC, and BAE Systems. The duo and the ASA have been negotiating the deal since March. The agreement will enable planning, workforce development and procurement activities that will set the foundations for the project. Specifically, the partners will develop critical plans and schedules for the mobilisation of the SSN-AUKUS build program; invest in developing and growing the submarine workforce; procure long lead items and undertake risk-reduction activities, initially through validating infrastructure requirements, configuring production, test and evaluation processes and conducting prototyping activities.
  • Cabinet’s powerful National Security Committee has ruled on the next phase of the SEA 3000 Guided Missile Frigate program, down selecting to two bidders. The development was leaked to the Australian Financial Review. The article, later confirmed, stated that the Government had endorsed a down select to Germany and Japan in the $10 billion competition to build eleven missile frigates for the RAN. Germany’s TKMS Meko A-200 Class and Japan’s Mitsubishi Heavy Industries Mogami FFM30 Class boats were selected for the next stage of the process. The winning design of the MEKO A200 and Mogami competition will be selected in 2025 ahead of construction commencing overseas in 2026. Three ships will be built overseas, with the first arriving in Australia by 2029, before construction of the final eight in Australia.
  • Speculation was rife this week that Prime Minister Anthony Albanese was contemplating calling an early election for March 8, 2025. Mr Albanese must call a poll before the end of May. The speculation was triggered after WA Premier Roger Cook revealed he was looking at ways to move the WA election from March 8 to avoid any risk of a clash with a federal election. The rumours were later denied by both leaders. However, the prospect of early federal election was also fuelled by Mr Albanese and his Opposition counterpart Peter Dutton campaigning in marginal seats this week. The latest Newspoll showed Mr Dutton’s Coalition continuing to maintain its slim lead, amid evidence voters are transferring their support to the major parties. Mr Dutton was also closed the gap on who would make the better Prime Minister to just four points. The poll showed the Coalition leading Labor 51-49 on a two-party preferred basis. However, both parties have lifted their primary support – Labor by two points to 33 percent and the Coalition by two points to 40 percent. The rise in the major’s two-party preferred vote has come at the expense of the Greens and other minor parties. Even with the Coalition’s primary vote at its highest this term the mostly likely election outcome is still a minority Labor Government. Labor sources were expecting a much worse poll result in the wake of the furore over flight upgrades.
  • Former Home Affairs Secretary and Defence Strategist, Mike Pezzullo also warned at a conference on the day of Newspoll’s release that Australia may be under pressure to lift Defence spending from 2 to 3 percent of GDP (or an extra $25 billion a year) as the US prevails on allies to spend more to earn US support. Mr Pezzullo said President Trump had consistently called on allies to spend more on Defence in return for a US security guarantee. He said Australia was well placed in this regard and could make beneficial deals with a Trump administration in areas such as critical minerals, the production of nuclear-powered submarines at a faster rate, advanced military technologies and providing further access to Australia’s geographically crucial facilities and infrastructure.
  • The Albanese Government has sought submissions for the 2025 Australian Defence Export Catalogue. The catalogue is Australia’s flagship publication for promoting the defence industry and export-ready products and services and is also key to the Albanese Government’s future made in Australia agenda. Submissions for the 2025 edition can be lodged online via the Australian Defence Export Catalogue portal until Midnight on November 30. All proposed exports of military and dual use goods will be assessed under Australian export controls legislation.

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