Defense Minister Richard Marles said Australia will strengthen its military by acquiring 11 Mogami-class frigates built by Japan's Mitsubishi Heavy Industries.
Marles said the $6 billion (RM25.3 billion) deal was the largest defense industry collaboration ever signed between Japan and Australia.
He also said the ships would replace Australia's aging Anzac-class fleet with the first Mogami-class ships expected to enter service by 2030.
The Mogami-class warships are high-tech 'stealth' frigates equipped with a variety of advanced weapons systems and 32 vertical launch cells for long-range missiles.
Mitsubishi Heavy Industries won the contract after beating off stiff competition from German company ThyssenKrupp Marine Systems.
In 2023, Australia announced a restructuring of its military with a focus on long-range strike capabilities to counter China's maritime military influence.