According to a Monday study, Australia’s government will prioritize long-range precision strikes, guided missile production, and diplomacy.

The study stated that the U.S. was no longer the “unipolar leader of the Indo Pacific,” Strong competition between the U.S. and China defined the region. That major power competition had “potential for conflict.”

The study stated northern bases would deter enemies and secure commerce lines and communications.

Prime Minister Anthony Albanese termed the review “the most significant work that’s been done since the Second World War.”

It shows how national security threats change. No old assumptions. “We must build our security by shaping the future rather than waiting for it to shape us,” he told reporters.

The evaluation noted China’s largest buildup since World War Two, its lack of transparency, and its strategic competitiveness in Australia’s neighborhood.

A public version of the confidential assessment issued on Monday said Australia must “avoid the highest level of strategic risk we now face as a nation: the prospect of major conflict in the region.”

It argued the “missile age” military danger to Australia does not involve invasion.

It stated Australia would expand bilateral military planning, joint patrols, and U.S. submarine deployments.

The assessment advised Australia to boost defense cooperation with Japan, India, the Pacific, and South East Asian nations.

The review’s proposals will receive A$19 billion in finance, including A$7.8 billion from scrapped projects.

In the government’s response to the assessment, Defence Minister Richard Marles said Australia must defend its territories and the region, dissuade any opponent from projecting strength through its northern approaches, and preserve commerce routes and communications.

He said the investigation found Australia’s military “not fit for purpose.”

“We aim to change the calculus so no potential aggressor can ever conclude that the benefits of conflict outweigh the risks,” he stated.

The study indicated Australia’s deterrence priority is the AUKUS nuclear-powered submarine program.

The study claimed long-range strikes and guided missiles were “fundamental to the Australian Defence Force’s ability to hold an adversary at risk.” It would be produced domestically and acquired faster.

Australia will strengthen its northern bases and ports promptly, and the evaluation recommended fuel storage fixes. In addition, the government will investigate leveraging civil mineral and petroleum industry infrastructure in northern and central Australia.

It also demanded cyber and space defense.

Undersea warfare, including drones for surveillance and strike; enhanced targeting; long-range strikes; maritime operations for sea denial and local sea control; air and missile defense; expeditionary theatre logistics; and northern bases for logistics support and deterrence, were critical areas.

The study claimed Australia’s military interest covers the northeast Indian Ocean, maritime Southeast Asia, and the Pacific.

After an independent analysis this year, the report recommended adding smaller warships with long-range attack weaponry to the navy. Instead, the government pledged naval shipbuilding.

Australia’s F-35A and F/A-18F fighters should have long-range anti-ship missiles, and the U.S. should create the Ghost Bat uncrewed aircraft.

It advised the government to investigate a faster-available integrated air and missile defense system.

The analysis called for putting longer-range weapons on current platforms in the next two years, advancing new capabilities from 2026 to 2030, and providing a “future integrated force” in 2031.