Johnston regrets submarine comments

Defence minister David Johnston says he regrets telling parliament he wouldn't trust government-owned shipbuilder ASC to build a canoe.

Labor has launched an attack on the minister over the comments, calling for his removal from cabinet.

Senator Johnston told the Senate he never intended to cause offence by the comments.

"Regrettably, in rhetorical flourish, I did express my frustrations in the past performance of ASC," he said.

"I of course was directing my remarks at a legacy of issues and not the workers in ASC whom I consider to be world class."

Senator Johnston said successive governments have faced frustrations in establishing a world class submarine capability.

"I am committed to leading the effort to fix our problems," he said.

Labor Senate leader Penny Wong accused the minister of trashing the reputation of the submarine corporation.

"This is a defence minister who is ... happy to undermine confidence in Australia's naval capability. He is a disgrace," she told the Senate.

"This is a man who has insulted thousands of hard working Australians."

It has been a campaign of denigration, she said.

Senator Wong said there were huge doubts over whether Senator Johnston would treat an Australian bid to build new submarines fairly.