Washington: US Defence Secretary Pete Hegseth noted the Albanese government’s commitment to boost military spending but indicated there was still more to do before Australia would be considered a “model ally” in the Indo-Pacific.
He also confirmed the cost of the US military campaign in Iran was at least $US25 billion ($35 billion), while lashing out at Democrats for labelling the two-month-old war a “quagmire”.
In a formal statement to Congress, Hegseth reiterated that the Trump administration was prioritising burden sharing in the Indo-Pacific and praised South Korea as a model ally. Seoul has announced it will raise defence spending to 3.5 per cent of GDP by 2035.
Japan, too, “clearly recognises the threat environment confronting all of us, and has signalled that it will raise defence spending and align investments accordingly”, Hegseth said in the statement.
“Australia likewise understands the need to increase defence spending and Canberra has taken another step with the release of its latest National Defence Strategy,” he said.
“We look forward to building on that progress with our Australian allies to be able to do more in the alliance together, move full steam ahead on AUKUS and build capability to promote meaningful deterrence.”
Those remarks were reiterated by the Pentagon’s head of policy, Elbridge Colby, who said on social media: “In sum, Americans want partners – not dependencies.”
Hegseth’s defence posture statement went on to name Israel, South Korea, Poland, Finland and the Baltic States as model US allies who had stepped up and would receive “special favour”.
“Allies that do not [step up] – allies that still fail to do their part for collective defence – will face consequences,” he said.
“President Trump likes helping countries that help themselves. That’s the nature of partnerships rather than dependencies. It’s what we owe our friends – and most importantly – the American people.”
Earlier in April, Prime Minister Anthony Albanese unveiled plans for Australia to spend 3 per cent of its gross domestic product on defence by 2033, using a broader formula that also counts spending on military pensions and additional infrastructure. The current figure is about 2 per cent.
The Trump administration has previously pressed Australia to increase that figure to 3.5 per cent, which it considers the new global standard after securing a commitment from NATO allies to reach that level.
Trump himself did not engage with questions about Australia’s announced increase in defence spending when asked recently, instead focusing on his claim that Canberra and others had not helped him in Iran.
Albanese has long argued his government’s approach to defence spending is about funding what is required for Australia’s own defence needs.
At an at-times fiery hearing with lawmakers on Wednesday (US time), Hegseth and Pentagon comptroller Jules Hurst revealed for the first time that the cost of Operation Epic Fury – the US military campaign in Iran – was $US25 billion, mostly on munitions.
Hegseth did not answer clearly when asked whether that figure included the cost of replacing spent munitions in 2026 dollars.
He became agitated after Democratic congressman John Garamendi called the Iran war a “quagmire” that would gravely injure America’s standing in the world.
“You should know better, shame on you,” Hegseth said. “Calling this a quagmire two months in … handing propaganda to our enemies. Who are you pulling for?”
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Michael Koziol is the North America correspondent for The Age and Sydney Morning Herald. He is a former Sydney editor, Sun-Herald deputy editor and a federal political reporter in Canberra.Connect via X or email.