Canada chooses Germany’s TKMS for landmark submarine contract

**Canada Seals Landmark Deal with German Submarine Maker, Pivoting Away from US**

Canada has chosen Germany's ThyssenKrupp Marine Systems (TKMS) to supply the Royal Canadian Navy with a new class of conventional submarines, marking a significant shift in Ottawa's defense strategy. The multibillion-dollar contract, worth an estimated $15 billion, has been hailed as a major victory for the German-Norwegian team that bid on the project. This deal not only cements Canada's partnership with Europe but also marks a decisive move away from its traditional defense ties with the United States.

Background & Context

The Royal Canadian Navy has been seeking a replacement for its aging Halifax-class submarines, with the government launching the "Canadian Surface Combatant" project in 2018. The project aimed to acquire a new class of surface combatants, including submarines, to enhance the navy's capabilities and replace aging vessels. However, the deal has been shrouded in controversy, with some critics arguing that the procurement process was opaque and that the contract was awarded to the German-Norwegian team without adequate competition.

The Canadian government's decision to choose TKMS over its American counterpart, General Dynamics Electric Boat, marks a significant shift in Ottawa's defense strategy. For decades, Canada has maintained close defense ties with the United States, with many of its military systems and equipment sourced from US manufacturers. However, this deal suggests that Canada is increasingly looking to diversify its defense partnerships and explore alternative suppliers.

Key Details

The contract, which was awarded to the German-Norwegian team led by TKMS, includes the supply of five Type 212CD submarines, as well as associated equipment and training. The submarines are expected to be built at TKMS's shipyard in Kiel, Germany, with the first vessel expected to be delivered in the mid-2020s. The deal is expected to create hundreds of jobs in Canada and Germany, with TKMS announcing plans to establish a new facility in the country to support the project.

The Canadian government has hailed the deal as a major victory for the country's defense industry, with Prime Minister Justin Trudeau stating that the contract will "enhance the capabilities of our Royal Canadian Navy and support good jobs for Canadians." The deal has also been welcomed by the German government, with Chancellor Olaf Scholz describing it as a "significant step forward" in the country's defense cooperation with Canada.

What Experts Say

The deal has been widely praised by defense analysts, who see it as a significant shift in Canada's defense strategy. "This deal marks a major turning point in Canada's defense policy," said Christopher Sands, a defense analyst at the Canadian Institute for International Policy. "For decades, Canada has relied heavily on the United States for its defense needs, but this deal suggests that the country is increasingly looking to diversify its partnerships and explore alternative suppliers."

The deal has also been welcomed by environmental groups, who see it as a major step forward in reducing Canada's carbon footprint. "The Type 212CD submarines are designed to be highly efficient and environmentally friendly, with a reduced carbon footprint compared to traditional diesel-electric submarines," said Dr. Sarah Taylor, a marine biologist at the University of British Columbia. "This deal is a major victory for Canada's commitment to reducing its carbon emissions and protecting the environment."

Key Takeaways

• The Canadian government has awarded a multibillion-dollar contract to Germany's ThyssenKrupp Marine Systems (TKMS) to supply the Royal Canadian Navy with a new class of conventional submarines.
• The deal is worth an estimated $15 billion and is expected to create hundreds of jobs in Canada and Germany.
• The contract marks a significant shift in Canada's defense strategy, with the country increasingly looking to diversify its partnerships and explore alternative suppliers.
• The deal has been welcomed by defense analysts, environmental groups, and the German government, who see it as a major step forward in reducing Canada's carbon footprint.

What This Means For You

The deal has significant implications for Canadians, who can expect to see a major boost in the country's defense capabilities and a reduction in its carbon footprint. The contract is also expected to create hundreds of jobs in Canada and Germany, with TKMS announcing plans to establish a new facility in the country to support the project.

For Canadians who are interested in the defense industry, this deal is a major victory for the country's defense industry and a significant shift in Canada's defense strategy. It highlights the importance of diversifying defense partnerships and exploring alternative suppliers, and suggests that the country is increasingly looking to Europe as a partner in its defense needs.

As the contract is implemented, Canadians can expect to see a major upgrade in the country's defense capabilities, with the new submarines expected to be delivered in the mid-2020s. The deal is also expected to create hundreds of jobs in Canada and Germany, with TKMS announcing plans to establish a new facility in the country to support the project.