Japan has come up with what amounts to excuses of why they are unable to allow their Soryu design to be built in Australia. Note that whole portions of the Soryu design are not original.
They are worried about security bleed of their subs to China.
"Releasing the core technology is not an option for Japan," he said.
"We're worried about leaks to China once our technology is in Australia."
Interesting as Japan is responsible for compromising U.S. AEGIS combat system technology to Communist China. And that is not the only example. AEGIS is at the heart of Australia's troubled Air Warfare Destroyer combat capability. Link-16 is at the heart of much of U.S. and allied combat networking systems.
Japan is also stating that building a sub in Australia is complex in the area of high-tension steel forming and skilled workers. I would contest this. All kinds of non-military projects happen in Australia, that are equally complex. While it may be a challenge, the only lack of skill Australia truly has is in the area of the inept entrenched Defence bureaucracy leadership.
Japan does not appear to understand that this is a competitive market. Understandable as they do not possess the skill other countries have with exporting military equipment; especially, submarines. As one example: Germany has no problem with the idea of building submarines and frigates, in Australia.
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