Australia's Deputy Prime Minister and Defence Minister Richard Marles delivered a sobering message on April 16, 2026, at the National Press Club in Canberra, cautioning that the world stands at the "foothills of a new nuclear arms race." This stark warning comes amid escalating global tensions, the rapid expansion of nuclear arsenals by major powers, and the end of key arms control agreements. Marles' speech, tied to the release of the 2026 National Defence Strategy (NDS 26), underscores the most complex strategic environment Australia has faced since World War II.

The minister highlighted how interconnected global conflicts—from Ukraine to the Middle East—are impacting Australia's security. Disruptions like those in the Strait of Hormuz have ripple effects on energy supplies and trade routes critical to the nation. As an island trading power, Australia must project force beyond its shores to protect vital sea lines of communication.

🔒 The End of the Nuclear Arms Control Era

The cornerstone of Marles' concern is the expiration of the New Strategic Arms Reduction Treaty (New START) on February 5, 2026. This U.S.-Russia pact, the last major agreement limiting deployed strategic nuclear warheads to 1,550 per side, marked the conclusion of Cold War-era restraints. Without replacement measures, all nine nuclear-armed states—United States, Russia, China, France, United Kingdom, India, Pakistan, Israel, and North Korea—are expanding their stockpiles.

Global inventories now exceed 12,100 warheads, with roughly 9,600 in military stockpiles and about 3,900 deployed. Russia holds the largest arsenal at approximately 5,459 warheads (4,309 deployed), followed by the U.S. with 5,117 (3,700 deployed). These figures, drawn from ongoing assessments by organizations tracking nuclear forces, illustrate a reversal from post-Cold War reductions.

This table captures estimates as of early 2026, showing the dominance of Russia and the U.S., which together control over 87% of the world's nuclear weapons.

China's Accelerating Nuclear Expansion

Marles pinpointed China as leading the charge, with its arsenal growing from around 410 warheads in 2023 to over 600 by 2026, on track for 1,000 by 2030. This buildup includes new silo fields, missile production, and bomber capabilities, enabling a nuclear triad (land, sea, air). Beijing's lack of transparency fuels regional unease, compounded by assertive actions in the South China Sea, including land reclamation at Antelope Reef and increased PLA Navy deployments near Australia.

Experts note China's shift from minimum deterrence to a more robust posture, potentially capable of targeting the U.S. homeland. This dynamic risks entangling Indo-Pacific nations in U.S.-China rivalry, prompting calls for renewed dialogue.

Australia's Comprehensive Defence Overhaul: NDS 26

In response, NDS 26 prioritizes self-reliance, impactful projection, and integration of crewed and uncrewed systems. The strategy acknowledges eroded assumptions: geographic isolation no longer provides buffer, warning times are shorter, and regional superiority is gone. Key pillars include denial strategies to prevent adversary advances into Australia's northern approaches.

• Long-range strike capabilities: Precision missiles for sea denial and integrated air/missile defence.
• Uncrewed systems: Drones like Ghost Bat and Ghost Shark for mass and asymmetry.
• Defence industrial base: Sovereign missile manufacturing via Guided Weapons Enterprise.
• Civil preparedness: Enhancing national resilience against coercion.

The plan features a two-year review cycle for agility amid rapid tech changes like AI.

Photo by Sung Jin Cho on Unsplash

Record-Breaking Defence Investments

The accompanying Integrated Investment Program (IIP) commits $425 billion over the decade, with a $53 billion uplift—$14 billion over forward estimates. Since 2022, Labor has added $117 billion, dwarfing the prior Coalition's $10 billion. Current spend: 2.8% GDP, rising to 3% by 2033, surpassing most NATO peers except the U.S.

Funding accelerates AUKUS nuclear-powered submarines (SSN), hypersonics co-developed with the U.S., and private capital for capabilities. Marles defended this against critics, noting ERC battles secure real outcomes, not just numbers.Read the full NDS 26 speech for detailed breakdowns.

🚀 AUKUS: Pillar of Maritime Power

AUKUS remains central, delivering Virginia-class SSNs from the early 2030s, followed by SSN-A under sovereign design. Australia has invested $3 billion in U.S. production ramps. This "most ambitious modernization since WWII" enhances stealthy, enduring presence without nuclear arms, adhering to non-proliferation.

Deep U.S. integration—Australians as deputy commanders in Pacific commands—bolsters alliance reliability amid Indo-Pacific shifts.

Transforming Warfare: Drones, Missiles, and AI

Lessons from Ukraine and Middle East—drones overwhelming defences—drive hybrid forces. Australia scales smaller, cheap uncrewed systems for mass, alongside high-end platforms. Hypersonic strikes and AI integration promise revolutionary edges, but proliferation risks demand safeguards.

• Integrated air and missile defence: Five-fold funding boost.
• Domestic production: Missiles, explosives for sovereignty.
• Henderson Precinct: $12 billion naval hub.

Indo-Pacific Implications and Alliances

China's conventional buildup—the largest since WWII—without reassurance erodes norms. PLA activities challenge sea lanes, vital for Australia's exports. U.S. presence is irreplaceable for balance; alliances like QUAD and partnerships amplify deterrence.

Marles stressed American leadership's role in the rules-based order during Q&A, welcoming U.S. strategies focused on the region.Explore Defence strategic planning.

Photo by CLINTON MWEBAZE on Unsplash

Expert Views and Stakeholder Perspectives

Analysts praise NDS 26's realism but urge diplomacy. Think tanks highlight arms race risks post-New START, advocating multilateral talks. Critics question spending metrics, but Marles rebutted, emphasizing capabilities over percentages. Industry welcomes industrial base growth, promising jobs and tech sovereignty.

Risks, Challenges, and Future Outlook

Escalation risks loom: multidomain threats, grey-zone coercion, economic chokepoints. Australia eyes civil resilience and innovation to counter. Optimism lies in diplomacy—reviving arms control, confidence-building. Marles envisions alliances steering toward stability.

By 2033, matured capabilities could deter aggression, but sustained investment and global engagement are key. Australians must grasp this era's gravity, supporting preparedness without inevitability of conflict.