US asks Australia to increase defense spending to 3.5% of GDP

2/6/2025 12:13

Australia's prime minister said on Monday his government would decide its defence capability needs before announcing defence spending, after U.S. Defence Secretary Pete Hegseth asked Australia to lift its defence budget to 3.5% of gross domestic product.



Prime Minister Anthony Albanese told reporters, "What you should do in defence is decide what you need, your capability, and then provide for it," adding his government had already committed to accelerate A$10 billion in defence spending for the next four years.



"We're continuing to lift up," he said, citing a 2.3% goal for 2033 previously set by his government.



A Pentagon statement said on Sunday, Hegseth and Australian Defence Minister Richard Marles discussed security issues including accelerating U.S. defence capabilities in Australia and advancing industrial base cooperation during a meeting on Friday.