S. 2130: AUKUS Improvement Act of 2025

The AUKUS Improvement Act of 2025 is designed to enhance the AUKUS partnership, which includes the United States, Australia, and the United Kingdom. The bill proposes several key changes to the processes and regulations related to arms exports between these countries.

Key Provisions

1. Flexibility in Arms Exports

The bill amends certain arms export regulations to allow for more flexible reexport and retransfers of defense articles. Specifically:

• Defense articles sold by the U.S. to Australia and the U.K. may be reexported or transferred between these nations without requiring prior consent from the U.S. President.
• Transfers among companies and government entities within these countries, including employees and agents, will be permitted under defined circumstances.

2. Commercial Technical Assistance and Manufacturing License Agreements

The bill eliminates the certification requirement for commercial technical assistance or manufacturing license agreements involving Australia and the United Kingdom. This includes:

• Reducing the bureaucratic requirements for U.S. companies and entities engaging in technical or manufacturing agreements with partners in these countries.
• This change will streamline processes, potentially making it easier for defense-related businesses to collaborate with partners in Australia and the U.K.

Impact on Defense Collaboration

The proposed changes aim to strengthen military collaboration between the U.S., Australia, and the U.K. by making it simpler and faster to share and manage defense technologies and services. This could foster closer ties in defense operations and facilitate joint efforts in addressing security challenges.

Relevant Companies

• BA - Boeing Company: As a major defense contractor, Boeing could benefit from the streamlined arms export processes, making it easier to collaborate with Australia and the UK on defense projects.
• RTX - Raytheon Technologies Corporation: This company's defense contracts could be positively impacted by reduced certification requirements, allowing faster delivery of systems to allies.
• LOCK - Lockheed Martin Corporation: With its significant operations in defense sales and international partnerships, Lockheed Martin may see enhanced collaboration opportunities with Australia and the UK.