Japan has officially confirmed that it is bidding for a contract to develop a new class of frigates for the Australian navy after the government concluded that the project would not breach the Three Principles on the Transfer of Defence Equipment and Technology that it announced in 2014.
The government reached its decision at a meeting of the National Security Council on Wednesday, two days after Canberra whittled the candidates for its next-generation warship down to two preferred bidders, Japan and Germany, eliminating rival projects proposed by South Korea and Spain.
Australia intends to purchase 11 vessels to replace its ageing fleet of ANZAC-class frigates, with the contract worth an estimated AU$10 billion (US$6.5 billion) and a final decision on the winning bid to be announced by the end of next year, Japan’s national broadcaster NHK reported.
Analysts say both the Japanese and German bids have advantages for the Australian government, but that Tokyo’s proximity and the efforts that Tokyo and Canberra have put into developing closer security ties in recent years may just tip the balance in Japan’s favour.
“Australia has come to the game a little late on these warships, although that does also give them the opportunity to look at what is available and select the best option for them,” said Garren Mulloy, a professor of international relations at Daito Bunka University and a specialist in military issues.
“The Germans are very experienced in developing warships, and particularly in tailoring their designs to the specific requirements of the export customer,” he told This Week in Asia. That ability to meet precise demands is helped by a reputation for delivering a high-quality finished product, he added.
Japan has a similar reputation for the highest standards of engineering, he pointed out, as well as experience in the joint development of military equipment with other countries, including incorporating British engines in military aircraft and warships. Japan does not, however, have any experience in exporting military technology.
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