Canada’s submarine contest was closely matched, Thyssenkrupp CEO Miguel Lopez told The Korea Herald after the government chose the company’s naval unit to negotiate a fleet deal for up to 12 boats.
“I don’t think that there was a lot of delta between the two companies,” Lopez said in an interview in Seoul, The Korea Herald reported. He also forecast more industrial cooperation linking South Korean firms with German and other European companies, citing changes in the geopolitical climate, the newspaper reported.
The Canadian government selected Thyssenkrupp Marine Systems (TKMS) as its preferred supplier on July 6 and said it would enter contract negotiations. If talks with TKMS fail, Canada said it could name Hanwha Ocean as preferred supplier. Prime Minister Mark Carney called the choice difficult and close. He said both bidders submitted strong proposals and that their platforms “met the capabilities” of the Royal Canadian Navy.
Canada’s project is intended to replace its aging Victoria-class submarines and avoid a capability gap across the Atlantic, Pacific and Arctic, according to a government backgrounder. Canada also says the program supports its sovereignty and continental defense goals, and has called it the largest defense procurement in the country’s history.
The government identified TKMS and Hanwha as qualified suppliers in August 2025 and received their proposals in March 2026. It projects industrial and employment benefits from the program. TKMS said the project would increase its order backlog by more than 50%, a potential commercial gain for the German company.
Canada says contracting should conclude no later than the end of 2027, with the first four submarines due in 2034. TKMS separately expects to deliver its first 212CD submarine by 2033.
