CHRISTCHURCH, New Zealand — Australia issued updates for two pivotal planning documents this week – its National Defence Strategy 2026 and Integrated Investment Program 2026 – while simultaneously promising a boost in defense spending.
Defence Minister Richard Marles pledged defense accounts would receive an additional A$14 billion (US$10 billion) over the next four years, and an extra A$53 billion over the coming decade.
The government is promising cumulative defense expenditure of A$887 billion over the coming decade. It also laid out an aim for defense spending to reach 3% of gross domestic product by 2033-34.
This is the National Defence Strategy’s first revision since it launched in 2024.
The document acknowledges that Australia has entered “a more dangerous and unpredictable era, characterized by a more overt struggle among states where thresholds against the use of force are being eroded.”
It warned, “The net effect is that Australia will face elevated levels of geopolitical risk over the coming decade, and our exposure to force projection and military coercion will reach levels not seen since the Second World War.”
As some countries doubt U.S. dependability, Canberra reaffirmed that “Australia-United States security arrangements, interoperability, intelligence sharing and industrial collaboration remain critical to Australia’s national security.”
The NDS set out five priorities, including developing greater self-reliance and prioritizing capability acquisition and sustainment plans. It also mentioned greater resilience for Australia’s sovereign defense industrial base, better coordination with regional partners, and improved national civil preparedness.
The latter point is significant, as the latest iteration of the NDS addresses a point of criticism of the previous document for being purely a military strategy. The 2026 version broadens national defense to include domains like civil preparedness, fuel security and economic security.
Meanwhile, the Integrated Investment Program – or IIP – allocates A$425 billion over the coming decade to accelerate capability improvements.
Among specific priorities for the Australian Defence Force (ADF) are undersea warfare, more lethal maritime capabilities and expanded long-range strike capabilities. The ADF will also increasingly adopt autonomous and uncrewed systems, as well as systems to counter those of adversaries.
Other specific acquisition priorities are a more resilient multi-orbit satellite communications network, as well as integrated air and missile defense. The document recognizes that Australia has serious air defense deficiencies. The IIP therefore mentions that a medium-range air defense “program will commence as a priority from 2026.”
Proportionately, little has changed from two years ago in terms of spending areas. Canberra will steer 41% of funds to maritime capabilities, 22% to enterprise and enabling (encompassing infrastructure and information technology), 17% to land, 14% to air, 5% to cyber and 2% to space.
Mick Ryan, senior fellow for military studies at the Lowy Institute and a former Australian Army major general, concluded: “The 2026 NDS is best understood as a continuation of the 2024 version rather than a departure from it. With the exception of modest increases in spending on drones and missile defense, it retains the previous strategy’s trajectory.”
Gordon Arthur is an Asia correspondent for Defense News. After a 20-year stint working in Hong Kong, he now resides in New Zealand. He has attended military exercises and defense exhibitions in about 20 countries around the Asia-Pacific region.
