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Home»Canadian Politics»Hanwha’s Submarine Visits Canada Amid Contract Talks
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Canadian Politics

Hanwha’s Submarine Visits Canada Amid Contract Talks

May 24, 20264 Mins Read
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Hanwha’s Submarine Visits Canada Amid Contract Talks
The South Korean submarine ROKS Dosan Ahn Chang-ho, built by Hanwha Ocean, is shown in Victoria on Saturday after making a 14,000-kilometre trans-Pacific voyage to demonstrate its long-endurance capabilities to Canadian decision-makers. (Chris Corday/CBC)
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The South Korean submarine ROKS Dosan Ahn Chang-ho docked off British Columbia’s coast on Saturday as part of Hanwha Ocean’s effort to win Canada’s multibillion-dollar submarine contract.

The ship is visiting Victoria and will engage in joint anti-submarine exercises alongside the Royal Canadian Navy.

This newly constructed 3,000-ton KSS-III submarine made a historic 14,000-kilometre journey across the Pacific to showcase its long-endurance capabilities for Canadian officials.

Prime Minister Mark Carney’s government is expected to decide soon whether to go with the Hanwha Ocean proposal or one from German competitor TKMS (Thyssen Krupp Marine Systems).

The navy aims to acquire 12 submarines over the next fifteen years, planning to use them not only in the Pacific and Atlantic oceans but also in Arctic waters, where they would need to operate under ice for extended periods.

WATCH | South Korean submarine in B. C. after 14,000-kilometre voyage:

South Korean submarine crosses Pacific as part of bid for Canadian military sales

A South Korean submarine built by Hanwha Ocean has arrived in Victoria for joint anti-submarine drills with the Royal Canadian Navy following a lengthy trans-Pacific trip. The voyage of ROKS Dosan Ahn Chang-ho was designed to highlight its long-endurance capabilities as it competes for Canada’s substantial submarine contract.

Rear Admiral David Patchell, commander of Maritime Forces Pacific and Joint Task Force Pacific, expressed gratitude towards South Korea for making the journey to Canada and said he feels “excitement about the Royal Canadian Navy that we are building.”

When asked about Canada’s need for new submarines, Patchell replied, “I need them yesterday.”

“We have operated submarines for over 100 years, but we have never truly been a submarine nation. But with 12 modern submarines, Canada will be a submarine nation.”

Since these submarines would be built offshore, both companies have presented detailed plans showing how they can contribute to the Canadian defense sector. They’ve signed multiple partnership agreements – sometimes with overlapping firms – demonstrating their commitment to creating jobs in Canada.

The original deadline for submitting proposals was early March; however, the federal government granted competitors extra time to enhance their economic benefit submissions.

Both firms were informed that a decision is expected by late June, followed by contract negotiations.

National Defence Minister David Mc Guinty, left, South Korean Prime Minister Kim Min-seok, Prime Minister Mark Carney and Hanwha Group vice-chairman Kim Dong-kwan are shown after touring a submarine at the Hanwha Ocean shipyard in Geoje Island, South Korea, on Oct. 30, 2025. (Adrian Wyld/The Canadian Press)

Rivals Compete Hard

The rivalry between these two bidders has been intense.

The Hanwha Group recently established a memorandum of understanding with Canada’s Automotive Parts Manufacturers’​ Association promising investment into armored vehicle production in Canada if it secures the submarine deal.

Additonally they signed an agreement with Algoma Steel in Sault Ste. Marie, Ont., committing up to $345 million toward a new structural steel beam mill and buying Algoma products for construction and maintenance infrastructure related to submarines.

Both initiatives hinge on Hanwha winning the contract for submarines.

In April, Hanwha released research indicating that its investments could generate between 15,000 and 22,500 jobs annually through 2044 within Canada.

Both Hanwha and TKMS are dedicated to establishing facilities for maintaining submarines located in Esquimalt, B. C., and Halifax ensuring Canada maintains operational sovereignty over its fleet.

The joint offer from Germany and Norway includes promoting the Type 212CD submarine model which is an upgraded version of Type 212 already deployed by three allied navies.

< WATCH | Canada narrows choice for new submarines:

Canada narrows choice down between German & South Korean bidders

Prime Minister Mark Carney announced that only two contenders remain competing for Canada’s new submarines: Germany’s TKMS along with South Korea’s Hanwha Ocean.

The German government has taken initiative proposing an extensive economic benefits package worth billions including diverse investments spanning thirty years into various sectors.

Some components involve significant funding directed towards domestic EV battery manufacturing within Canada alongside support concerning mining activities related specifically rare earth elements ensuring resource security here at home.

Germany also suggested potential acquisition Bombardier aircraft intended serving VIPs early warning roles within its fleets[ ad_2 ]
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