Hanwha Ocean reviews Canadian investments after losing submarine contract

Canada selected Germany’s ThyssenKrupp Marine Systems for a roughly $39 billion naval contract to modernise its submarine fleet, sidelining South Korea’s Hanwha Ocean. Following the decision, Hanwha Ocean said it is still reviewing its investment proposals in Canada, including a planned steel mill with Algoma Steel, technology cooperation with Ontario shipyards and a shipbuilding training centre with Mohawk College. The company denied reports that it had already withdrawn, noting that related projects such as HD Hyundai’s memorandum of understanding with the University of British Columbia remain in place.

The loss is seen as a setback for South Korea’s defence outreach, but experts argue it should not jeopardise the broader Canada‑South Korea strategic partnership that has expanded since 2018 across defence, intelligence, critical minerals and advanced technologies. Both nations continue joint naval exercises and cooperation in the Indo‑Pacific, while confronting security challenges from North Korea, China and cyber threats.