Hanwha Ocean is hoping being named as one of two shortlisted firms to supply Canada with up to 12 new submarines will be a springboard to further export success.
The Canadian Government last week named the South Korean firm as one of two businesses in the running for its Canadian Procurement Submarine Programme (CPSP) alongside German company TKMS.
A recent press statement from the South Korean firm stated: “This CPSP shortlisting is expected to have a significant positive impact on export competition in countries such as Poland and the Middle East, which are preparing to acquire submarines.
“Poland, which will begin the process of selecting a contractor as early as this year, is expected to be closely watching the results of Canada’s shortlist selection, a fellow North Atlantic Treaty Organization (NATO) member country.
“Poland plans to acquire three submarines through the Orca Project as part of its naval modernization program. Including maintenance and repairs, the project’s scale could reach up to 8 trillion won [about $4.2 billion].”
The Royal Canadian Navy is seeking to procure up to 12 Arctic-capable submarines in a deal expected to be worth in the region of 60 trillion won (about £32 billion, or C$60 billion).
Hanwha Ocean’s offering for the CPSP is its 3,000-ton Jangbogo-III Batch-II submarine, which uses air-independent propulsion (AIP) and lithium-ion batteries to give it a three-week endurance and a range of up to 7,000 nautical miles.
The South Korean firm is bullish about its chances, with the head of its Overseas Business Group Vice President Jeong Seung-gyun commenting: “Hanwha Ocean is working as a ‘one team’ to win the CPSP project with the support of the Ministry of National Defense, the Defense Acquisition Program Administration, the Navy, and the National Assembly.”
He added: “We will definitely achieve a ‘splendid ending’ by winning the CPSP project, which will strengthen not only economic and industrial cooperation between Korea and Canada but also naval cooperation, together with the government and the National Assembly.”
Hanwha Ocean claimed its proposal was looked on favourably by the Canadian authorities because of its “rapid delivery capabilities, proven submarine solutions, and localization strategies,” plus a pledge that it could shorten its contract-signing to delivery period from a typical nine-year duration down to six.
- You can read more details on the Hanwha Ocean website