In escalation over submarine deal, France recalls envoys from U.S. and Australia | World Defense

In escalation over submarine deal, France recalls envoys from U.S. and Australia

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PARIS/CANBERRA/WASHINGTON, Sept 17 (Reuters) - France plunged into an unprecedented diplomatic crisis with the United States and Australia on Friday after it recalled its ambassadors from both countries over a trilateral security deal which sank a $40 billion French-designed submarine contract.

Foreign minister Jean-Yves Le Drian said in a statement that the rare decision taken by President Emmanuel Macron was made due to the seriousness of the matter.

On Thursday, Australia said it would scrap the $40 billion deal with France's Naval Group to build a fleet of conventional submarines and would instead build at least eight nuclear-powered submarines with U.S. and British technology after striking a trilateral security partnership. France called it a stab in the back.
 

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Well that escalated quickly…
 

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Australia reaches settlement with France over scrapped submarine deal​


Australia Prime Minister Anthony Albanese said on Saturday in a news conference in Sydney that his government had reached a "fair and equitable" settlement with Naval Group.

 
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