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Albanese dismisses US call for increase in Australia's defence spending

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More news: Prime Minister Anthony Albanese has dismissed the suggestion by US Secretary of Defence Pete Hegseth that Australia should increase its defence spending to 3.5% of GDP.

During a visit to South Australia, Albanese reiterated the Labor government's commitment to increasing defence investment to 2.3% of GDP over the next four years, up from its current level of 2.02%.

What they said: "What we don't do is do what the opposition did during the election campaign, where they announced an amount of money, they couldn't say where the money was coming from, and they couldn't say what it was for," Albanese said.

"That makes no sense. What we need is things that defend us in real terms, and that's what we'll provide."


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US urges Australia to hike defence spending

The news: US Secretary of Defence Pete Hegseth has urged the Albanese government to increase its defence spending "as soon as possible".

Hegseth met with Australia's Deputy Prime Minister and Minister for Defence Richard Marles on the sidelines of the Shangri La Dialogue in Singapore on Friday.

The numbers: According to a readout on the meeting, Hegseth told Marles Australia should increase its defence spending to 3.5% of GDP, up from its current level of 2.02%.

The context: In a discussion over "key priorities for the US-Australia Alliance", Hegseth and Marles also discussed aligning investment to the security environment in the Indo-Pacific, accelerating US force posture initiatives in Australia, advancing defence industrial base cooperation, and creating supply chain resilience.


By Hugo Mathers