TKMS Aims to Outmaneuver Rivals in Canada's Submarine Tender

Warship builder TKMS, in talks with Norwegian and German companies, is proposing a comprehensive investment package to Canada to win a competitive submarine tender. The package includes investments in rare earths, mining, AI, and battery production, challenging South Korean competitor Hanwha Ocean.

Warship builder TKMS is engaging with Norwegian and German firms to present a significant investment package to Canada in a bid to secure a lucrative submarine tender. The CEO hopes to surpass an offer from South Korea's Hanwha Ocean, Reuters reported.

Beyond submarines, the discussions include potential investments in sectors such as rare earths, mining, artificial intelligence, and automotive battery production. Oliver Burkhard, CEO of TKMS, highlighted the comprehensive nature of the package, which could fortify TKMS's standing as a preferred bidder after being short-listed along with Hanwha Ocean last year.

The proposed agreement comes amidst heightened geopolitical tensions and reflects Germany's efforts to fortify defense alliances, particularly as the U.S. positions itself regarding Greenland and amidst ongoing conflict in Ukraine. TKMS's potential partners are considering long-term investment commitments in Canada, pivotal to winning Canada's new defense acquisition.

(With inputs from agencies.)