The United States military will station a powerful radar and a space telescope in Australia as part of a major refocusing of priorities towards Asia.
The deal calls for the first deployment of a US Air Force C-band radar in the southern hemisphere, allowing the Americans to better track space debris.
The agreement came during the annual defence talks between the two countries, held in Perth.
They were attended by US secretary of state Hillary Clinton and defence secretary Leon Panetta along with their Australian counterparts Bob Carr and Stephen Smith.
Mr Smith, the Defence Minister, says the two countries have been discussing space issues at the AUSMIN meetings for several years.
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