Hanwha Ocean, Babcock team up in Canadian submarine bid

Hanwha Ocean Vice President and Head of Special Ship Overseas Business Jung Seung-gyun (sixth from right) and officials from Hanwha Ocean and Babcock pose for a photo during a signing ceremony on Tuesday. (Hanwha Ocean)

Hanwha Ocean said Tuesday it has teamed up with UK-based defense firm Babcock to bid for the Canadian Patrol Submarine Project, pitching a proposal centered on local job creation and long-term industrial development in Canada.

The bid builds on an exclusive partnership agreement signed in September 2025 and is anchored in a concept of “sovereign sustainment,” aimed at enabling Canada to operate, maintain and repair its submarine fleet domestically throughout its service life.

Under the proposal, Hanwha Ocean will supply its KSS-III conventional submarine, currently in service with the South Korean Navy. The platform features lithium-ion batteries and an air-independent propulsion system, allowing extended underwater endurance.

Babcock will contribute key subsystems, including weapon launch systems and torpedo tubes, while Babcock Canada will lead in-country sustainment. Its role will cover maintenance, upgrades and in-service support, with an emphasis on skills development and technology transfer to Canadian industry.

“CPSP is not just about delivering a submarine, but about building long-term industrial capability and skilled jobs in Canada,” said Charlie SC Eoh, president of Hanwha Ocean’s naval ship business. “With Babcock Canada leading local support, we aim to strengthen Canada’s ability to sustain its own fleet.”

Hanwha Ocean has been shortlisted as one of two qualified bidders for the CPSP, alongside Germany’s ThyssenKrupp Marine Systems. The massive defense procurement program is valued at up to 100 billion Canadian dollars ($72 billion) and aims to acquire 12 submarines to modernize the Royal Canadian Navy’s fleet. The project is regarded as one of Canada’s most complex defense procurements, requiring sustained operations across the Pacific, Atlantic and Arctic.