The Implications of Aukus on Malaysia’s Strategic Environment

Abstract

Malaysia, a maritime nation with continental roots, is located at the centre of SEA and is a hub for maritime trade and competition. Its economic success relies on open sea lanes and global markets. While Australia has yet to publicise itself as a maritime nation, both countries share a commonality in a multifaceted relationship, focusing on trade, defence, higher education, and cultural exchange. Despite their mutual collaboration, Malaysia and Australia confront hurdles, such as policy disagreements and establishing the AUKUS initiatives. AUKUS, a trilateral agreement between Australia, the UK, and the US, aims to integrate 
their defence industrial bases through two main pillars: equipping Australia with nuclear powered submarines and collaborating on technology development. The initiative emphasises democratic governance, the rule of law, and a rules-based international order, addressing regional challenges like counterterrorism and cyber threats. The comprehensive defence project, expected to cost AUD 368 billion, aims to transform Australia's defence industry. The commitment to rules-based order remains crucial in addressing international concerns of nuclear non- proliferation. The AUKUS agreement aims to establish a robust safeguards regime for HEU transferred to non-nuclear weapons states. The initiative is not a security alliance but a technology accelerator for defence, allowing the broader possibility for ASEAN countries to leverage emerging technologies for the military edge.