Counter-Terrorism Agreement—United States and Australia

The United States and Australia have signed a counter-terrorism agreement that would allow the countries to share intelligence and carry out joint research.^[1] The agreement came as Prime Minister John Howard visited Washington, D.C. for the fifth time in seven years.^[2]

The agreement is similar to those between the United States and the United Kingdom, Israel, and Singapore.^[3] In the US-Australia Memorandum of Understanding [hereinafter MOU], the two countries will share costs over the next 10 years for “combined research and development across technology areas and activities. These will focus on identifying and detecting terrorists and terrorist groups, foiling their efforts, neutralizing their weapons, and reducing the probability of terrorist incidents.”^[4]

Under the MOU, the United States is allowed “to tap into Australia's extensive technological, intelligence and special operations capabilities to better serve warfighters and first responders on the front lines against terror.”^[5]

If the United States wants to enter into a MOU, there are a few issues that must be taken into consideration. During the negotiation and implementation of a MOU which relates to research, development, or production or defense equipment, the Secretary of Defense must

• consider the effects of existing or proposed memoranda of understanding on the defense technology and industrial base of the United States; and
• regularly solicit and consider comments and recommendations from the Secretary of Commerce with respect to the commercial implications of such memorandum of understanding or related agreement and the potential effects of such memorandum of understanding or related agreement on the international competitive position of United States industry.^[6]

If the Secretary of Commerce has reason to believe that an existing or proposed MOU has, or threatens to have, a significant adverse effect on the international competitive position of United States industry, the Secretary can request an inter-agency review of the MOU.^[7] After the review, if the Secretary determines that the commercial interests of the United States are not being served, he shall recommend to the President the renegotiation of the MOU in order to ensure an appropriate balance of interests.^[8] The President may also block the implementation of a MOU on his own accord if he determines that the MOU has or is likely to have a significant adverse effect on United States industry that outweighs the benefits of entering into or implementing the MOU.^[9]

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[1] Australia, U.S. Sign Agreement to Improve Counter-Terrorism, Bloomberg, May 18, 2006.
[2] Id.
[3] Id.
[4] Donna Miles, U.S., Australia Agree to Increase Counterterrorism Cooperation, American Forces Press Service, May 17, 2006.
[5] Id.
[6] 10 U.S.C. § 2531(a).
[7] Id. § 2531(b).
[8] Id.
[9] Id. § 2531(c).