Japan has faced challenges in exporting advanced defense equipment, but a recent victory in securing a significant contract has turned this trend around. On August 5, 2023, Japan was shortlisted for the Royal Australian Navy’s frigate procurement process, which could be worth up to US$6.5 billion.
The Ministry of Defense of Japan celebrated this announcement, viewing it as a pivotal moment in advancing security cooperation with Australia, labeled as a “Special Strategic Partner.” The Australian Defence Force aims to procure 11 upgraded Mogami-class frigates, with Japan’s design emerging victorious in a competitive selection process against Germany’s MEKO A-200 frigate.
Australia’s Department of Defence released a statement indicating that Mitsubishi Heavy Industries’ (MHI) Mogami-class frigate was assessed as the best fit for fulfilling Australia’s capability requirements. However, this decision is not final; negotiations are set to commence, with hopes of reaching binding contracts with MHI and the Japanese government by 2026.
A significant risk associated with this frigate program is that the upgraded version of the Mogami class does not currently exist. The Mogami class has recently seen Japan’s navy commission its eighth frigate on June 19, 2023, valued at JPY 47.4 billion (approximately US$332 million). Japan plans to focus on 12 upgraded Mogami frigates starting from Fiscal Year 2028, with an initial contract for two issued to MHI in May.
Defense expert Jennifer Parker from the Australian National University noted that the risk regarding the design is somewhat mitigated by Japan’s strong reputation in shipbuilding. However, the schedule presents another challenge, as Australia expects the first frigate to be delivered by 2029, entering service in 2030, with the first three frigates built in Japan before shifting construction to Western Australia.
The existing shipbuilding programs in Australia have met with delays, leading to concerns that Japan might have to build more than the planned three ships domestically. Furthermore, the upgraded Mogami class is less compatible with the current Anzac class and the forthcoming BAE Systems Hunter class.
An additional hurdle is MHI’s lack of experience in constructing naval vessels overseas. Past contracts with international shipbuilders, such as France’s Naval Group and Germany’s Luerssen, faced scrutiny under Australia’s rigorous standards, raising concerns regarding potential relationship strains if issues arise in the frigate agreement.
Despite the challenges, the Japanese government remains committed to this program, viewing its strategic partnership with Australia as highly important, second only to its alliance with the United States. Australian Defence Minister Richard Marles emphasized the significance of this partnership and the urgent need for new frigates to replace the retiring Anzac class. The Royal Australian Navy’s fleet is projected to drop to nine warships next year, the lowest number since World War II.
While the government aims to increase the surface combatant fleet to 26 vessels, concerns persist about capability gaps in the late 2020s, according to Parker. The upgraded Mogami will weigh 4,800 tons—700 tons more than its predecessor— and features a length of 466 feet, significantly longer than the original design.
With a 32-cell vertical launch system, the new frigate doubles the missile capacity compared to its MEKO A-200 competitor. MHI has expressed confidence that Australia’s decision was influenced by the Mogami’s performance, reliability, technological capabilities, and adaptability for future enhancements.
Gordon Arthur, serving as an Asia correspondent for Defense News, has extensive experience in defense matters across the Asia-Pacific region, contributing valuable insights into this evolving partnership.