Television Interview, Sky News

SUBJECT/S: AUKUS; Mobilization deed between ASC, BAE and the Commonwealth; TAFE places in South Australia; Kevin Rudd; US Election; Trump Administration; Golf

HOST, KIERAN GILBERT: Joining me live from Adelaide is the Acting Prime Minister, Richard Marles. Thanks for your time. A couple of important announcements today, including this mobilisation agreement on the building of the AUKUS subs. When do you hope they'll be in the water, those Australian built submarines?

ACTING PRIME MINISTER, RICHARD MARLES: Well, that's a way down the track, Kieran. The first of the submarines that will be built here in Adelaide will be in service in the early 2040s. It's why when we announced the optimal pathway in March of last year, that we had the purchase of the Virginia class submarine so that we could have an Australian flagged nuclear-powered submarine a decade earlier, in the early2030s. But the mobilisation deed is a really important enabling agreement to allow the joint venture to happen. The way in which our future submarines will be constructed is through a joint venture of ASC, which is Commonwealth Government owned and BAE working together to undertake a contract from the Commonwealth to build our future submarines. The mobilisation deed enables work to continue while that joint venture is being sorted through, which is going to take some time. But under the mobilisation deed we're able to purchase long lead items, get the workforce going, start the work on the construction yard which is where the submarines will be built. So, it's a really important building block in the whole process that we've announced today.

GILBERT: Indeed. And another important element here is 300 jobs pathways for young Australians to be part of that AUKUS industry. You've announced that alongside Peter Malinauskas today that it is an industry of the future, potentially.

MARLES: 100 per cent. I mean here in Adelaide, in fact, right around the country, because we will need to engage the nation's entire industrial base to do such a gigantic thing as build these submarines of the future. But it is going to be focused here in South Australia. One of the real challenges is the human challenge of having the people we need to build these submarines of the future. And we meet that challenge by investing in training, which is part of what the announcement is today. And of course this represents a great opportunity for young people in South Australia. This will see, as you say, almost 300 places, most of which will do their study here at Regency Park, the TAFE in South Australia. This is both traineeships over the course of a 12 month period where you'll get a Cert III qualification as well as full apprenticeships, the four year course in fabrication, mechanical electrical qualifications. So, it's one of those building blocks. And there'll be more announcements like this, but this is evidence of the fact that we are building the workforce we need to enable us to really undertake this huge industrial endeavour.

GILBERT: It is, and there's so much at stake. And I ask you this in the context of the industrial and employment opportunities. Is it time for Kevin Rudd to come home? Dan Scavino, a senior adviser to Donald Trump, has tweeted an hourglass basically saying the Ambassador's time is running out. Isn't this AUKUS relationship, isn't the alliance more important than one individual's ego, being Kevin Rudd?

MARLES: Well, I don't think that's a fair characterisation of the work that Kevin is doing. I mean, firstly, the alliance is bigger than any government in Washington D.C. or any government in Canberra for that matter. And we've seen that, its transcended politics in both of our countries for many decades- in the past, as it will for decades to come in the future. And we are really confident about the place of the alliance under future President Trump, as well as our key equities within the alliance, AUKUS being front and centre. But, you know, Kevin has done a great job-

GILBERT: What about the hourglass?

MARLES: Working well. Kevin's done a great job in working across the political spectrum in the US in the time that he's been ambassador. Democrats Republicans and Trump Republicans alike. We saw that at the end of last year as legislation passed the United States Congress which enabled AUKUS, and that included, for example, the sale of the Virginia class submarines. That was supported by people across the political spectrum, which included Trump Republicans. And Kevin was absolutely central to the effort to work the Hill to see such support for that legislation- 

GILBERT: But he called Mr. Trump a village idiot. 

MARLES: Look, Kevin, as the Ambassador has been doing a great job, as I say, working across the political spectrum. He was there at the Republican National Convention earlier in the year. He's been really important for a number of us in terms of introducing us to people who are potential contributors to the Trump Administration. And I've got no doubt he will ably to represent- 

GILBERT: Will Donald Trump cop someone who has called him the village idiot, though?

MARLES: Look, I think what matters is what Kevin is doing now as the Ambassador. And he is clearly focused on building our relationship across the spectrum, but very much with a future Trump Administration and he will be able to represent our country- 

GILBERT: But if you can't, have you got a plan B? If you can't, is there a plan B? Because I'm only asking this because I've seen Donald Trump the first iteration and this is his second, and it's all about personal relationships with him. If he can't do it, will you bring him home? Because as you've started the conversation with us today, it's so important for our industry, for jobs, for our future.

MARLES: Kevin is doing a great job as our Ambassador and that is our focus and that is his focus. And he could not be doing a better job in terms of representing Australia's interests. And I have got no doubt that he will be able to continue representing those interests with a future Trump Administration. And I'm also very confident that under President Trump, once he is sworn in, all the key equities in our alliance with the United States will be supported and will be in place. And I'm really- and we saw that in the conversation that President Elect Trump had with Prime Minister Albanese last week. I think we can all have a sense of confidence about the future of the Australian American relationship going forward.

GILBERT: The veteran Pete Hegseth is our Fox News host as well. He's just been appointed Secretary of Defense. He's going to be your new counterpart. I'm not sure, do you know him? Have you met anyone that's been announced thus far as part of the Trump Cabinet, like Marco Rubio or the National Security Adviser Waltz?

MARLES: Look, I've not met Pete Hegseth, but I very much send him my congratulations. It is a hugely significant role to be the United States Secretary of Defense. I really look forward to the opportunity of meeting Pete Hegseth and of working closely with him, as I have with Lloyd Austin, who I'll be seeing later this week. I mean, so much of the way in which our relationship, our full bilateral relationship between Australia and America plays out happens through the prism of defence. And so it really is a very key role from an Australian point of view. And I'm really looking forward to working with him and building that relationship.

GILBERT: Do you know if the Prime Minister or any other senior figures have met, you know, had contacts with the likes of Marco Rubio, the new Secretary of State, or incoming Secretary of State? Also, just note that Vivek Ramaswamy and Elon Musk have just been appointed in the last little while to head up a new Department of Federal Government Efficiency, is essentially what they've been tasked with. So, it's all happening fast. But are there any other connections that the government has at that high level?

MARLES: Oh, look, we will build all of those connections. As I say, the Prime Minister spoke with President Trump last week and there will be the time to build those relationships, as I've built relationships with all of my counterparts across the world, none of whom I'd met before them being in their role and my being in my role. But that there is absolutely the opportunity to do that, and I really look forward from my point of view of being able to do that with my new counterpart, Pete Hegseth. And I've got no doubt that it is going to be a productive relationship which will play a huge part in building Australian capability but taking the alliance into the future.

GILBERT: Will Australia have to increase its defence spending as a percentage of GDP, as Mike Pezzullo and others have argued, to show we're pulling our weight?

MARLES: Well really, firstly we are increasing our defence spending as a percentage of GDP- 

GILBERT: Up to three per cent?

MARLES: Well we’ve engaged in historic levels of increased defence spending right now. I mean, the $50 billion of additional spending over the decade, the $5 billion of additional spending over the forward estimates. I mean, in the context of peacetime Australia, they represent historic levels of increased expenditure, the largest that we've seen in decades. Now, we did that in response to our strategic circumstances. And in a rational world, it is the strategic landscape which drives what one should spend on defence. And I can tell you that we are rational people and a rational government, and that's why we've made the decisions that we have and we'll continue to do so. It is fundamentally important, given the complexity of the strategic landscape that we face right now, that we are building Australian capability.- 

GILBERT: So you will boost it if need be. 

MARLES: And that's what we're doing. We have been boosting defence spending, Kieran. And we've been boosting it in a historic way in terms of historically large amounts. So, I mean, the runs are on the board in terms of what we've done and the levels of spending that we have engaged in in defence, and not just budgeting, but the levels of money that we've seen actually go out the door to Australian defence industry to build capability in the here and now. All of that is happening at record levels in terms of peacetime Australia, but we need to be doing that because we do have a very complex strategic environment and that's why we have been focused on increasing our defence budget.

GILBERT: We're coming up to the top of the hour. I do want to- I've got to ask you this one; How about this story, you'll enjoy this- The South Korean President has just started practising golf for the first time in eight years, he's picked up a club preparing for Trump. Maybe you should take the Prime Minister out for some lessons. Or the Prime Minister should take you to Florida. What do you think you should have get on the links with the incoming President?

MARLES: Kieran, you are- I don't know how to answer that. And it is very bad of you, given that you and I played golf together on the odd occasion for you to be asking me those questions. I mean, it's not a secret that I don't need my arm twisted that much to go and hit the fairways. Look, let's see what we can do in terms of- I know that Anthony has hit a golf ball in the past, but we will be- I have met President Yoon, South Korea is a proud golfing nation. It's perhaps not a surprise that he should be brushing up his skills.

GILBERT: There you go.

ENDS