The CEO of ThyssenKrupp Marine Systems (TKMS), the German company selected to construct Canada’s new submarines, is advocating for increased collaboration among European shipbuilders. This effort could have implications for Canada as the navy explores the possibility of incorporating corvettes into its fleet.
Oliver Burkhard emphasized TKMS’s recent partnership with the Spanish government-owned Navantia S.A., aiming to work together on naval projects, potentially including the production of TKMS submarine designs at Navantia’s Spanish shipyards.
Burkhard highlighted the growing demand for warship construction, noting the shift from a time-rich but cash-poor market to a current scenario of ample funds but limited time. Imarc’s recent report predicts a more than five percent increase in demand for warships over the next decade.
Apart from submarine construction, Canada is progressing with the production of River-Class destroyers and has expressed the need for ice-capable corvettes. The destroyers are under construction at Irving Shipbuilding in Halifax, with the National Shipbuilding Program overseeing the completion of Arctic and Offshore Patrol Ships. Due to Canada’s lack of modern submarine building capabilities, the planned 12 submarines will be constructed in Germany.
Burkhard, ahead of his upcoming visit to Ottawa, where he will meet with companies partnering with TKMS for Canada’s submarine program, mentioned that TKMS has been named the preferred supplier for the navy’s submarines by the Carney government. The goal is to finalize the contract with the German shipbuilder by the end of 2027, with the possibility of an expedited agreement due to the government’s swift actions.
Regarding the potential export of TKMS’s MEKO A-100 corvette design to Canada, Burkhard mentioned that it could be built in Canada with their design, offering partnership opportunities. The Canadian navy identified the need for corvettes last year and is evaluating the role and capabilities of such vessels.
Rob Huebert, a defense expert, emphasized the importance of military necessity in defense procurement discussions. He supported the idea of closer cooperation among European shipyards, particularly in submarine construction, to enhance ship production capabilities.
Burkhard likened the current shipbuilding market conditions to the aerospace industry in the 1960s, which led to the creation of Airbus. While acknowledging the complexity of establishing a maritime equivalent of Airbus, Burkhard suggested that industry leadership could drive such initiatives.
The importance of enhanced partnerships among European defense companies was underscored in a study by the Center for Strategic and International Studies (CSIS) three years ago, highlighting the need for increased cooperation despite rising defense expenditures in Europe.