Anthony Albanese has invited Germany’s leader to visit Australia next year

Prime Minister Anthony Albanese says Australia’s relationship with Germany, the world’s fourth largest economy, is important and growing closer.

Anthony Albanese has invited his German counterpart to visit Australia, saying the relationship with the world’s fourth largest economy is becoming closer and more important.

The Prime Minister has met with Chancellor Olaf Scholz in Berlin on his way to the G20 meeting in Lithuania, where he will deliver a speech as a special guest of the northern hemisphere alliance.

Prime Minister Anthony Albanese has met with German Chancellor Olaf Scholz in Berlin. Twitter

Defence and climate change were major topics of discussion, with Mr Albanese confirming Australia would join the new Climate Council initiative introduced by Germany when it headed the G7 last year.

“Australia and Germany have never been closer and I have been honoured to visit Berlin and to meet with Chancellor Scholz today,” Mr Albanese said.

“We discussed ways to draw our countries even more closely together, with a focus on trade, the clean economy, defence and regional security.”

The first order of business was the signing of a $1bn defence deal to supply the Queensland-made Boxer heavy weapon carriers to Germany. The deal could in time come to be worth up to $6.5bn.

“This will boost our sovereignty. This will increase our defence capability and boost our economy. This is a great outcome,” Mr Albanese said after he witnessed the signing.

Australian Ambassador to Germany Philip Green, Prime Minister Anthony Albanese and Germany’s State Secretary, Federal Ministry of Defence Benedikt Zimmer after the signing of the deal. Picture:Twitter

The Boxer heavy weapon carrier vehicles are produced by Germany company Rheinmetall at its Military Vehicle Centre of Excellence in Brisbane.

Germany will also join a major military exercise in Australia for the first time. Hundreds of German troops will join in Talisman Sabre with the United States and 11 other nations in extensive military exercises starting this week.

The inclusion of Germany is seen as a reflection of the closer ties Australia has forged with the European nation in recent years.

Prime Minister Anthony Albanese’s visit to Berlin comes before he heads to the G7 meeting in Lithuania where global security is a major talking point. Picture: Twitter

Mr Albanese has also announced Australia will join the Climate Club, an initiative introduced by Germany while it held the presidency of the G7 last year.

“No challenge is, of course, more pressing than that posed by climate change,” Mr Albanese said after the meeting.

“Australia and Germany are now united in our deep commitment to tackling climate change and I commended Chancellor Scholz on his development of the Climate Club and was pleased to confirm that Australia will join.”

The Club’s goals are threefold – provide a forum for policy discussion, implement industrial decarbonisation, and for outreach. The Club’s work program is still being determined.

Other members include G7 countries – Germany, France, Italy, Canada, United Kingdom, Japan, United States, European Union Council and Commission, as well as Argentina, Chile, Colombia, Indonesia, Luxembourg, Netherlands.

By joining now, Australia believes it can shape a role for the Club that complements our climate objectives and considers “our unique regional perspectives.”

“Australia and Germany are forging ahead with our green agenda, and seizing the exciting opportunities of clean energy transition while delivering new jobs and export opportunities for both countries.

“We have also made a significant step forward on defence cooperation, which will support jobs and industry in Australia.”

Chancellor Scholz has been invited to visit Australia next year.

Australia will send a RAAF E-7A Wedgetail flying to help with Ukraine operations. Supplied (RAAF)

Meanwhile, Mr Albanese has announced Australia will send a Royal Australian Air Force E-7A Wedgetail aircraft for six months to help protect multinational logistics hubs supplying critical support to Ukraine.

The deployment will help to ensure the continued and uninterrupted flow of military and humanitarian assistance into Ukraine.

The aircraft will be based in Germany, as part of Operation KUDU and will operate in European airspace; it will not operate within Ukrainian airspace.

The leaders also discussed Australia’s problematic trade deal with the EU.

“We discussed the ongoing negotiations of the Australia-EU free trade agreement,” Mr Albanese said.

The FTA will diversify trade and strengthen economic links between Australia and the EU at a time of considerable, global uncertainty.

“I thank Chancellor Scholz for Germany‘s support for an ambitious agreement to deliver for Australian and German businesses, workers and their families.

“Ultimately our EU negotiations will only be concluded when when we have a good deal, one that includes new market access for our agricultural products.”