Hanwha Ocean's KSS-III Dosan Ahn Chang-ho submarine / Courtesy of Hanwha Ocean Hanwha Ocean’s narrow defeat in Canada’s multibillion-dollar submarine procurement project has proven to be a strategic showcase for Korean defense technology, laying the groundwork for the firm’s future exports, experts and industry officials said Tuesday.
The analysis came shortly after the Korean shipbuilder lost the Canadian Patrol Submarine Project, a program valued at up to 60 trillion won ($39.3 billion), to Germany’s TKMS.
Experts attribute Hanwha Ocean's defeat not to technological shortcomings, but to geopolitical considerations, particularly Germany's longstanding alliance with Canada through NATO.
While political factors are believed to have played a decisive role, they argue that the closely contested bidding process underscored Hanwha Ocean's ability to compete head-to-head with one of the world's most established submarine manufacturers.
Moon Keun-sik, a professor at Hanyang University’s Graduate School of Public Policy and a former Korean submarine captain, said Korea had mounted a strong campaign, but was ultimately unable to overcome the political realities surrounding the procurement process.
