Australia has awarded US $ 40 Billion (A$ 50 Billion) contract to build 12 new submarines to state-owned French naval contractor DCNS Group, Australian Prime Minister Malcolm Turnbull announced Tuesday.

    Speaking to journalists in Adelaide, the prime minister said, "The recommendation of our competitive evaluation process of the panel, the department of defence, the experts who oversaw it, was unequivocal, that the French offer represented the capabilities best able to meet Australia's unique needs," Turnbull told reporters in the South Australian state capital of Adelaide where the submarines will be built.

    Australia has a longer-term plan to boost its defence capabilities. The country will hold its federal elections July 2 to elect members of the 45th Parliament