Australia and the US have agreed to work together on projects in the Northern Territory and build a facility for six B-52 bombers and other aircraft.
The bombers are capable of being armed with nuclear weapons.
The two nations are also working together to upgrade airfields, fuel storage facilities, accommodation and training areas.
Asked about the housing of nuclear-capable bombers, Prime Minister Anthony Albanese said: "We engage with our friends in the United States alliance from time to time".
Opposition Leader Peter Dutton said it was essential Australia's relationship with the US continued to deepen.
"It would be fantastic to have them cycling through more regularly," he said of the bombers.
"It bolsters our security position in an uncertain time."
He said discussions he had with the US defence secretary when he was defence minister flagged rotating all aspects of their air force through the Top End, to prop up Australia's northern front.
"To defend that and to deter anybody from taking action against us is absolutely essential," he said.
When asked on Monday about US B-52s being deployed in Australia, Chinese Foreign Ministry spokesperson Zhao Lijian said defence and security cooperation between countries should "not target any third parties or harm the interests of third parties."
"The relevant US behaviours have increased regional tensions, seriously undermined regional peace and stability, and may trigger an arms race in the region," Zhao told reporters at a Beijing briefing.
"China urges the parties concerned to abandon the outdated Cold War and zero-sum mentality and narrowminded geopolitical thinking, and to do something conducive to regional peace and stability and enhancing mutual trust between the countries," he added.
Senior analyst in defence strategy at the Australian Strategic Policy Institute Dr Malcolm Davis said Australia would likely see more US aircraft deployed in the top end during the dry season.
"These deployments were flagged in last year's (Australia-US ministerial talks), where the US and Australia agreed to enhance the cooperation by having more facilities to support these aircrafts," he told AAP.
"We've been hosting B-52 bombers on various deployments for a number of years."
While China could see the deployment as provocative, Dr Davis said that was unsurprising.
"We don't make defence policy to suit Beijing, we do it to suit our own needs," he said.
Tom Corben, a research fellow in foreign policy and defence at the United States Studies Centre, said the bombers would more likely to be used in high-profile deterrence missions, rather than for stealth.
"China would likely dress this up as escalation," he told AAP.
"The reality is, Chinese analysts have been watching the development of US posturing initiatives in Australia for quite some time ... I doubt that they are genuinely surprised by this."
Polling conducted for the studies centre found 45 per cent of those surveyed said the US military footprint in Australia should remain the same, while 27 per cent wanted it increased.
A further 10 per cent wanted a reduction in US military presence.
US Ambassador to Australia Caroline Kennedy said ongoing peace in the Indo-Pacific required a mix of diplomacy and deterrence.
She said Washington and Canberra needed to work together to maintain peace and stability in the Pacific.
"America doesn't have a stronger, closer ally. I see that every day as I go around," she told the ABC.
with AP
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