By Focus and AFP | 2025-09-11

Australia will deploy a new fleet of autonomous underwater drones known as "Ghost Sharks" in a bid to strengthen its naval capabilities and deter potential threats in the Indo-Pacific.

The government announced on September 10 it had signed a 1.7 billion AUD ($1.1 billion) contract with Anduril Australia to design, build and maintain the extra-large uncrewed undersea vehicles. Dozens are planned, with the first set to enter service in January.

Defense Minister Richard Marles described the program as a significant step in reshaping the nation's military posture. "This is the highest tech capability in the world," he said, adding that the drones would feature stealth design, very long range, and the ability to carry out intelligence, surveillance, reconnaissance and strike missions. "Australia is leading the world in terms of autonomous underwater military capabilities."

The initiative was driven by a deteriorating security outlook, said Marles.

"Australia faces the most complex, in some ways the most threatening strategic landscape that we have had since the end of the Second World War," he told reporters.

"All that we are doing in terms of building a much more capable Defense Force is to deter conflict and to provide for the peace and stability of the region in which we live," he added.

Drones to complement nuclear subs

The new undersea drones are expected to complement Australia's future nuclear-powered submarines, which are being acquired through the trilateral AUKUS security pact with the United States and the United Kingdom.

Marles stressed that Ghost Shark would not be a substitute for those vessels but would operate alongside them, according to the Australian Broadcasting Corporation (ABC).

"It also works in conjunction with our surface fleet, in what is clear is that going forward nations will need to have an autonomous military capability and that's what Ghost Shark represents," he said.

Australia will not receive its first nuclear-powered submarine under AUKUS until 2032. Marles said he was confident the combination of drones and submarines would provide a "fundamentally critical" capability. Navy chief Vice Adm. Mark Hammond told ABC the Ghost Shark would ensure Australia and its allies retain a "capability advantage" in undersea warfare, even as China and others roll out advanced systems.

The program is being delivered as part of a five-year plan. US defense firm Anduril, which already operates in Australia, will oversee production, maintenance and ongoing development.

Chinese invest in undersea drones

Several countries, including China, are investing heavily in uncrewed underwater vehicles, the Economic Times reported in September.

Earlier this month, Beijing unveiled new extra-large undersea drones at a military parade, which Naval News described as 18 to 20 meters long and powered by pump-jet propulsion, bearing similarities to Russia's Poseidon nuclear torpedo. While analysts cautioned against drawing direct comparisons, the growing prominence of such technologies highlights a shift in naval warfare.

If drones like these can be produced at scale and prove reliable in combat, they could present serious challenges to rival navies operating in contested waters, defense analysts told the newspaper.

"By deploying Ghost Shark, Australia aims to position itself at the forefront of undersea drone warfare, bolstering deterrence and operational flexibility in the Indo-Pacific," the Economic Times reported.

The Ghost Shark rollout is part of a wider modernization of Australia's naval forces. The Australian government in August announced a $6 billion deal with the Japanese firm Mitsubishi to acquire 11 Mogami-class stealth frigates, with the first to enter service by 2030.

It is one of Japan's largest defense export contracts since World War II. The ships will replace Australia's aging fleet of Anzac-class vessels.