AUKUS subs deal 'could worsen US shortfall, blunt China deterrence'

The release of the report bolsters US Republicans in their demands for the White House for more funding to boost American production of submarines before agreeing to transfer Virginia-class boats to Australia. It also coincides with senior Albanese government ministers quelling a grassroots and union backlash to AUKUS at the Labor Party's national conference last week by warning a military build-up was needed to deter China. As part of AUKUS, the US will sell at least three and up to five Virginia-class submarines to Australia from the early 2030s to avoid a capability gap between the retirement of the Collins-class…