Industry Minister Kim Jung-kwan says South Korea’s bid for Canada’s multibillion-dollar submarine fleet renewal project remains competitive despite geopolitical and alliance-related considerations. Kim cautions that increased geopolitical pressure and Ottawa’s focus on NATO interoperability could influence the final decision. The project, estimated at about $39 billion, would replace the Royal Canadian Navy’s four aging Victoria-class submarines with 12 new diesel-electric submarines of roughly 3,000 tons. The contract also includes long-term maintenance, repair and overhaul (MRO) services.
Kim says the competitiveness of Korea’s proposal is a key factor, while noting that Germany—via its shipbuilder TKMS—poses the main challenge. The minister’s remarks also frame the bid as important for South Korea’s shipbuilding industry and for expanding defense-related industrial cooperation in North America.
Canada is expected to choose a preferred bidder by the end of the month, with the outcome indicating how Ottawa balances industrial cooperation packages against NATO interoperability requirements.
