Source · Select Committees · Defence Committee

Recommendation 5

5 Accepted in Part Paragraph: 59

Expand AUKUS Pillar 2 for supply chain security; consider involving other nations

Recommendation
AUKUS offers a tangible opportunity to respond to growing tensions in the Indo- Pacific. Through Pillar 1 AUKUS, the UK can tackle shared challenges together with our allies, with the goal of upholding the rules-based order. Moreover, Pillar 2 offers an immediate avenue for developing the UK’s defence capabilities, and to access and share critical intelligence and technology. In the short term, Pillar 2 should be expanded to secure and diversify supply chains for munitions and critical minerals. In the medium term, the Government should consider opportunities to involve other likeminded nations and allies in activities related to the advanced capabilities involved in Pillar Two, but only if this can be achieved without compromising the strong relationships developed between the three AUKUS partners.
Government Response Summary
The government partially agrees, stating it already monitors supply chains and supports the Critical Minerals Strategy. It commits to engaging with allies on Pillar II as it matures but defers expansion to additional partners as they are not yet in a position to consider it.
Paragraph Reference: 59
Government Response Accepted in Part
HM Government Accepted in Part
The Government partially agrees with the Committee’s recommendations. AUKUS is one of the UK’s most strategically important capability collaborations in decades. Its primary ambition is to strengthen Indo-Pacific and global security. AUKUS Advanced Capabilities, known as Pillar II, involves pursuing a trilateral programme of work across a range of leading edge technologies and capabilities to promote security and stability in the Indo-Pacific. We are pooling our expertise and resources across artificial intelligence and autonomy, hypersonics and counter-hypersonics, quantum technologies, cyber, electronic warfare and underwater battlespace; ensuring that our countries are equipped with the latest and most effective capabilities to defend and uphold stability around the world. We apply the highest standards and scrutiny to capability development, ensuring that we are continuously monitoring our supply chains for threats, risks and fragilities. As part of this, we support implementation of the UK’s Critical Minerals Strategy to promote resilience in critical mineral supply chains, safeguarding UK industry, supporting the clean energy transition, and protecting national security and defence capability. In addition, there are existing arrangements in place, such as the National Technology Industrial Base (NTIB) across the Five Eyes, that AUKUS can leverage to support delivery. AUKUS capability development across all three members will strengthen our combined manufacturing and supply chains, and through deterrence and reassurance, will support keeping lines of communication and effective supply chains open. We recognise interest from partners in collaborating on Pillar II of AUKUS. The AUKUS Leaders’ Statement of April 2022 committed to engaging with allies and close partners as Pillar II lines of effort mature. Though we are making good progress on Pillar II, we collectively agree that we are not yet in a position to consider expanding to additional partners.