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Home»Canadian Politics»Hanwha Group Boosts Submarine Bid in Canada
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Canadian Politics

Hanwha Group Boosts Submarine Bid in Canada

April 29, 20263 Mins Read
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Hanwha Group Boosts Submarine Bid in Canada
From left to right, National Defence Minister David McGuinty, South Korea's Prime Minister Kim Min-seok, Prime Minister Mark Carney and Hanwha Group vice-chairman Kim Dong Kwan chat after touring a submarine at the Hanwha Ocean Shipyard on Geoje Island, South Korea, on Oct. 30, 2025. (Adrian Wyld/The Canadian Press)
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South Korea’s Hanwha Group is making its bid for Canada’s multi-billion-dollar submarine program more appealing, presenting a revised proposal aimed at enhancing the nation’s defense industrial base.

The company has entered into a memorandum of understanding with Canada’s Automotive Parts Manufacturers’​ Association (APMA), committing to produce a range of armored vehicles in Canada if it secures the submarine contract.

A year ago, first reported that Hanwha Ocean and Hanwha Aerospace submitted an unsolicited offer to the federal government suggesting they could provide not just submarines but also K-9 mobile artillery guns and potentially armored vehicles.

As part of that proposal, company representatives mentioned their ability to set up an armored vehicle maintenance and manufacturing facility should Canada accept their offers.

In discussions with , Hanwha executives along with South Korean defense officials have highlighted their goal of assisting Canada in rebuilding its defense industrial capacity.

The recently announced partnership with APMA comes after the federal government granted both Hanwha Ocean and German contender TKMS extra time to refine the economic benefits aspect of their bids.

The deadline for updated proposals from both firms is Wednesday.

WATCH | South Korea wants to be Canada’s new military supplier:

South Korea wants to be Canada’s new military supplier

As Ottawa reconsiders U. S. weapons contracts, South Korean arms manufacturers aim to replenish Canada’s reduced military supplies ranging from howitzers to submarines. CBC’s Murray Brewster gained exclusive access to one firm striving to become Canada’s new high-tech arsenal.

Industry Minister Melanie Joly has publicly expressed support for possibly repurposing Canadian auto plants affected by the trade conflict with the U. S. into facilities for manufacturing military-grade vehicles.

Hanwha representatives indicate that this new partnership could include not only K-9 howitzers but also their Redback infantry fighting vehicles, Chunmoo multiple launch rocket systems, and remotely operated ground drones produced in Canada.

A factory like this would put Hanwha up against General Dynamics Land Systems Canada, which has maintained a long-term strategic relationship with the federal government for many years.

The company assures that these new vehicles will be entirely manufactured in Canada by Canadian workers using locally sourced parts and materials, including steel and aluminum.

According to Hanwha, it could generate “tens of thousands of automotive sector jobs for Canadians.”

Hanwha states it will collaborate with APMA to create a sovereign Canadian automotive business unit focused solely on designing and producing non-commercial industrial vehicles such as light-duty trucks and SUVs intended for use by the Canadian Armed Forces.


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