French sub to bring deeper co-operation

Australia buying French submarines will open the way for a new naval partnership and other co-operation between the two nations, ambassador Christophe Lecourtier says.

Mr Lecourtier said France, one of three contenders to supply the next generation subs, could build the large boats Australia required and would transfer all technology through a government-to-government agreement.

"It also means engaging in a far more comprehensive co-operation between our governments, our navies and our industries ... to face the many threats and challenges of this century," he told the National Press Club on Tuesday.

French firm DCNS is one of three contenders to build the new submarines, in what will be Australia's largest-ever defence contract.

Along with Germany and Japan, it's willing to build the new boats in Australia.

The competitive evaluation process concludes in November with the government set to announce the winner early in 2016.

Mr Lecourtier said France regarded Australia as a first class ally, a reliable nation and a rising power.

France had offered Australia a guaranteed contract that would open the way to a wide range of co-operation between government departments, including peak research programs and innovative defence technologies.

It would also include naval co-operation across the Pacific, Indian and Southern oceans, fighting trafficking and piracy, broader non-proliferation security initiatives and joint handling of humanitarian crises.

Labor defence spokesman Stephen Conroy said all three bidders for the submarine project had expressed a desire for a sovereign Australian submarine build.

"Australia needs to protect our national strategic interests," he said.