Hanwha Targets Canadian Defense Deal with Submarine Pacific Expedition

Hanwha Targets Canadian Defense Deal with Submarine Pacific Expedition

Hanwha, a defense company from South Korea, is making strategic moves to secure a significant contract to replace Canada’s aging submarine fleet. This spring, the company will send one of its advanced KSS-III attack submarines across the Pacific Ocean, planning to dock off the coast of British Columbia.

Submarine Journey and Canadian Procurement Process

The KSS-III submarine is currently undergoing maintenance at the Janae Naval Base and is expected to arrive near British Columbia by late May. This initiative aligns with Canada’s ongoing efforts to upgrade its naval capabilities.

Stephen Fuhr, Canada’s Secretary of State for Defence Procurement, recently toured Hanwha’s shipbuilding facilities to assess the submarines. During the visit, he inspected two submarines—the KSS-III, which is yet to be certified, and another that has recently entered active service. Fuhr expressed admiration for the capabilities of the submarines, noting their advanced technology compared to Canada’s existing Victoria-class vessels.

Capabilities of KSS-III Submarine

  • The KSS-III submarine has a displacement of 3,000 tonnes and can launch vertical missiles for land strikes.
  • It carries multiple torpedoes and can accommodate around 50 officers.
  • Standing at about 50 meters in length, this submarine showcases modern maritime warfare capabilities.

Hanwha and its competitor, TKMS, are set to submit final proposals for the contract by March 2. The Canadian government anticipates selecting a preferred supplier by year-end, with the total procurement possibly standing as Canada’s largest defense acquisition project in history.

Economic Impact and Industrial Partnerships

Fuhr highlighted the potential for job creation associated with this defense investment, indicating thousands of jobs could be generated across both coasts of Canada. Both Hanwha and TKMS are proactively forming partnerships with Canadian companies to demonstrate their commitment to local economic benefits.

Hanwha has recently committed to investing in Algoma Steel, agreeing to loan the company $275 million for infrastructure improvements contingent on winning the submarine contract. Algoma’s CEO emphasized the importance of this partnership to adapt and innovate in the face of economic challenges, including layoffs due to previous tariffs.

Technological Advancements in Shipbuilding

During the tour, representatives from Ontario Shipyards noted the advanced manufacturing processes at Hanwha. Approximately 45 ships are produced annually, utilizing advanced robotics for most tasks, significantly speeding up production timelines.

The collaboration between Hanwha and Ontario Shipyards is poised to enhance Canadian shipbuilding, pending the success of Hanwha’s submarine bid. This synergy reflects a broader effort to integrate cutting-edge technology into Canada’s maritime defense capabilities, promising both innovation and robustness for the future naval fleet.