The navy has set its sights on sophisticated new Japanese technology to extensively rebuild its troubled Collins-class submarines and extend their operational lives by 10 years or more.
That could postpone the spending of an estimated $40 billion to build the 12 new submarines the Gillard government has promised to replace the Collins-class boats.
Japan is relaxing its constitutional ban on exporting military equipment, raising the possibility its Soryu-class submarine - or more likely some of its advanced technology - could be an option for the Royal Australian Navy as it seeks a new fleet to replace the six Collins boats.
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