Japan clinched a landmark A$10 billion ($6.5 billion) deal on Tuesday to build warships for Australia, marking Tokyo's most consequential defence sale since ending a military export ban in 2014 as it steps away from postwar pacifism to counter China.

The Australian government aims to sign binding, commercial contracts with Mitsubishi Heavy and the Japanese government in 2026.

Japan’s Mitsubishi Heavy Industries will deliver the first of Australia's new navy frigates under a A$10 billion ($6.5 billion) deal, Australian Deputy Prime Minister Richard Marles said on Tuesday.The three frigate contract will be the biggest Australian defence purchase since the government in 2023 agreed to build nuclear-powered submarines with the United States and Britain,