South Korea Formalizes Backing for Canada’s Submarine Procurement Bid

Updated 2026-02-20 02:00:01+00:00 (10 articles)

Image: Yonhap

This file photo taken Feb. 2, 2026, provided by Hanwha Ocean Co., shows Stephen Fuhr (5th from L), Canada's secretary of state for defense procurement, Hanwha Ocean CEO Kim Hee-cheul (6th from L) and other officials posing for a photo after visiting Hanwha Ocean's shipyard in Geoje, about 330 kilometers southeast of Seoul. (PHOTO NOT FOR SALE) (Yonhap) Source Full size

South Korean ministries and navy sign official support document On 20 February 2026, South Korea’s defense, foreign and industrial ministries, the Navy, and shipbuilders Hanwha Ocean and HD Hyundai Heavy Industries signed a paper confirming government backing for Canada’s submarine procurement effort [1]. DAPA Minister Lee Yong‑cheol stressed that the project requires “trust and implementation” beyond mere technical proposals [1]. The document reaffirms commitment to the industrial‑cooperation plan outlined by President Yoon Suk‑yeol’s office [1].

Bid seeks up to twelve 3,000‑ton submarines worth roughly $41 billion The Canadian Patrol Submarine Project is valued at about 60 trillion won (US$41 bn) and aims to acquire as many as twelve new submarines [1]. A proposal deadline is set for early March 2026, underscoring the urgency of the procurement [1]. The scale of the contract makes it one of the largest defense deals Canada has pursued in recent years [1].

Hanwha Ocean–HD Hyundai consortium shortlisted alongside German competitor The South Korean partnership of Hanwha Ocean and HD Hyundai Heavy Industries is one of two final contenders, the other being ThyssenKrupp Marine Systems of Germany [1]. Both consortia are tasked with replacing Canada’s aging Victoria‑class fleet [1]. Their proposals combine submarine design with promised industrial cooperation for Canadian firms [1].

Canada will choose bidder offering maximum economic benefit Procurement Secretary Stephen Fuhr indicated that while both South Korean and German offers meet mandatory technical requirements, the decisive factor will be which side delivers the greatest economic advantage to Canada [1]. Economic benefit includes local industry participation, job creation, and technology transfer [1]. Speed, price, and capability remain important, but economic impact carries the “big deciding factor” [1].

Sources

1.
Yonhap: South Korea Confirms Government Backing for Canadian Submarine Bid: Details the Feb 20 2026 signing of a support document by ministries and shipbuilders, outlines the $41 bn project scope, describes the Hanwha‑HD Hyundai consortium versus ThyssenKrupp, and highlights Canada’s focus on economic benefit .
2026-02-20 02:00:01+00:00

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Timeline

Dec 10, 2025 – A Canadian submariner boards the ROKS Ahn Mu during Silent Shark drills near Guam, marking the first foreign crew on a 3,000‑ton Korean submarine and underscoring Seoul’s bid for Canada’s up‑to‑12‑submarine Patrol Submarine Project [10].

Jan 21, 2026 – Canada’s Richard Arbeiter tells Deputy Foreign Minister Chung Eui‑hae that Ottawa has strong confidence in South Korean defence firms for its next‑generation submarine programme, proposes a two‑plus‑two foreign‑defence ministers’ dialogue, and notes the first Canadian submarine must enter service by 2035 [9].

Jan 26, 2026 – Chief of staff Kang Hoon‑sik flies to Toronto to lobby for the Korean bid, stating the only contenders are Korea and Germany, while Hyundai Motor Group chair Euisun Chung joins a government delegation led by Kang and Industry Minister Kim Jung‑kwan to showcase Korean submarine capabilities and explore Canadian automotive‑sector offsets required by the contract [7][8].

Jan 29, 2026 – Kang delivers President Lee’s personal letter to Prime Minister Mark Carney in Ottawa, briefs officials on advanced Korean submarine technology, and announces that Canadian procurement chief Stephen Fuhr will board a South Korean Navy submarine on his upcoming visit, calling the prospective contract a “major step forward” for Korea and a gateway to NATO markets [6].

Jan 31, 2026 – After trips to Canada and Norway, Kang tells reporters that Korean submarine technology “is significantly better” than rivals, expresses confidence the bid will succeed, and says the award could be announced within six months to a year, while noting a 19‑billion‑kroner artillery deal in Norway and acknowledging NATO ties with Germany as a potential hurdle [5].

Feb 2, 2026 – Stephen Fuhr tours Hanwha Ocean’s Geoje shipyard, boards the 3,600‑ton Jang Yeong‑sil submarine and calls the experience “amazing,” stresses Canada’s focus on maximum economic benefit and automotive offsets, and highlights MoUs with five Canadian firms covering steel, AI and aerospace [4].

Feb 5, 2026 – Defence Minister Ahn Gyu‑back meets Fuhr in Seoul, emphasizing Korea’s rapid, stable delivery of indigenous submarines and “swiftly and stably” strengthening Canada’s naval power, while Fuhr inspects the 3,600‑ton Jang Bogo‑III Batch‑II model; later that day, Kang Hoon‑sik meets Fuhr at Cheong Wa Dae, marking a second high‑level dialogue and reinforcing broader security‑industry cooperation [2][3].

Feb 20, 2026 – South Korean ministries, the Navy and firms Hanwha Ocean and HD Hyundai sign a support document confirming government backing for the Canadian submarine bid; DAPA Minister Lee Yong‑cheol says the project “goes beyond proposing capabilities” and requires trust and implementation, while Canada’s Stephen Fuhr says the final decision will hinge on which side offers the “maximum economic benefit” [1].

Early Mar 2026 (planned) – Korean and German consortia must submit detailed proposals to the Canadian government by the early‑March deadline, after which Ottawa expects to select a supplier within six months to a year, shaping the future of Canada’s Patrol Submarine Project [1][5].

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