South Korea’s Hanwha Offers KSS-III Batch-II Submarines to Canada, Competing Against Germany’s ThyssenKrupp Marine Systems (TKMS) with Type-212CD Submarines
South Korea is vigorously competing for a contract to produce and supply submarines for Canada, presenting a compelling offer that includes potential space cooperation. As reported by Hanwha Defence Canada CEO Glenn Copeland, Hanwha Aerospace plans to sign a memorandum of understanding with Canada’s Maritime Launch Services Inc.
This development was reported by Bloomberg. Given that Canada currently lacks a functional launch site or a rocket launch operator, Hanwha is proposing its support. Copeland emphasized the company’s intention to invest in “developing launch capabilities to accelerate Canada’s own rocket launches.”
From Defense Express’s perspective, this move signifies South Korea’s strong effort to secure a contract for all 12 potential submarines for the Canadian Navy. It’s worth noting that reports from March indicated Ottawa was considering splitting the contract between South Korea’s Hanwha Ocean and Germany’s TKMS.
Also in March, it was mentioned that a final decision on acquiring submarines to replace the Victoria-class submarines was expected by April 4th. However, Canada has not yet announced a winner, with timelines subsequently shifting to June.
Currently, it is known that the Canadian Cabinet has begun receiving assessments of the proposals.
In addition to space collaboration, South Korea is offering Canada several other “down-to-earth” benefits should Ottawa select Seoul for the supply of KSS-III Batch-II submarines and award them the deal for all 12 vessels.
These proposed benefits include the localization of submarine production in Canada, a standard offering from South Korean defense companies, as well as a commitment to procure steel for the contract from the local company Algoma Steel Group Inc.
Hanwha also highlights that their submarines would be more cost-effective compared to the German option (though specific costs have not yet been disclosed, making objective comparison difficult) and that they could be produced more rapidly, given Canada’s urgent need for these submarines.
Previously, Defense Express reported that after a year of threats from the US, Canada ultimately turned towards Sweden’s GlobalEye and inquired whether this would assist with the Gripen.