UK Foreign Secretary Liz Truss pens new tech deal with SA during AUKMIN visit

The UK Foreign Secretary has signed a new cyber and defence agreement with SA, as she puts her confidence in the state’s shipbuilders.

South Australia has signed a three-year deal to deepen ties with the UK through the space, cyber and defence industries, unlocking billions of dollars in economic activity under a national-first agreement.

The memorandum of understanding will slash red tape for SA businesses looking to break into the UK market, and help implement Australia’s AUKUS pact with the UK and US by improving cyber security capabilities.

UK Foreign Secretary Liz Truss struck the deal with Premier Steven Marshall at Lot Fourteen on Saturday after visiting the Osborne shipyard, where a new fleet of nuclear-powered submarines is expected to be built under the AUKUS agreement.

In an interview at the shipyard, Ms Truss told the Sunday Mail she was “100 per cent committed” to helping boost the level of SA content in the new boats, and made assurances that controversies surrounding UK Prime Minister Boris Johnson would not throw AUKUS off course.

UK Foreign Secretary Liz Truss tours the BAE Osborne shipyard with Finance Minister Simon Birmingham and Premier Steven Marshall. Picture: Tricia Watkinson

“If you look at any opinion survey in Britain about which countries they want us to work with, Australia is pretty much at the top of the list,” Ms Truss said.

“This is of course the Conservative government led by Boris Johnson … but (AUKUS) is not just about any one government.

“This is something that British people care deeply about and we see Australia as our friend and family.”

Ms Truss is considered a leading contender to replace Mr Johnson if he is forced out over claims parties were thrown at Number 10 Downing St during Covid lockdowns. But she reaffirmed her support for her boss.

“The Prime Minister will continue and he will fight and win the next election,” she said.

Ms Truss visited BAE shipbuilders working on Australia’s Hunter-class frigates on the final day of discussions between Australian and UK ministers known as AUKMIN.

She remained confident Adelaide would be up to the task of building nuclear-powered submarines, despite the state still not having the necessary legal framework or the nuclear skills.

“What I’ve seen is a fantastic state-of-the-art shipyard. I’ve met many fantastic apprentices who are at the cutting edge of shipbuilding,” Ms Truss said.

But she would not be drawn on which submarine design Australia would likely build – one from the UK or US.

Finance Minister Simon Birmingham said there would be more Australian designers and shipbuilders deployed overseas.

“I expect close collaboration and understanding of both the UK and US nuclear-powered submarine shipbuilding facilities, so that we can integrate that into the design decision here,” he said.

UK Foreign Secretary Liz Truss remained confident in Adelaide’s ability to build nuclear-powered submarines. Picture: Tricia Watkinson

The new UK-SA agreement is expected to generate billions of dollars of economic activity in the long term. It is the first ever state level agreement between the UK and Australia.

Ms Truss said a key pillar of the deal was improving cyber security to counter belligerent forces such as China and Russia.

“We know that we are seeing aggressive behaviour from authoritarian regimes,” she said.

“We need to make sure that we defend freedom and democracy.

“But this is also about jobs and opportunities for people and what we’re seeing is more jobs in the UK and here in South Australia, which is fantastic.”

Mr Birmingham said SA, as the nation’s space and defence hub, was in prime position to “reap extraordinary benefits” from closer co-operation with the UK as part of AUKUS.

Premier Steven Marshall declared the deal “huge” for SA.

“Importantly, it will help our companies here in SA get into the UK market quicker and easier, which is vital for our wine industry (and) our growing job creating industries such as defence, cyber and space,” Mr Marshall said.

Ms Truss has faced heavy criticism from Australian winemakers for a new proposed alcohol tax system, which they said would hurt the red wine industry. During the week she defended the proposal as “non-discriminatory” and a “matter for the UK”.

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Originally published as UK Foreign Secretary Liz Truss pens new tech deal with SA during AUKMIN visit