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AAP
AAP
Politics
Tess Ikonomou and Kat Wong

Australian defence budget 'cannibalised' for AUKUS

Australia is set to acquire three Virginia-class submarines from the US in the early 2030s. (Richard Wainwright/AAP PHOTOS)

Australia's nuclear submarine deal won't be sunk by tariff-driven cost blowouts, Anthony Albanese says, as Labor is accused of "cannibalising" the defence budget.

More than a third of the steel and aluminium used in US ships and submarines came from partners including the UK and Canada, which have been hit with tariffs, a US lawmaker says.

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