Canada’s Secretary of State for Defence Procurement, the Honourable Stephen Fuhr, visited Hanwha Ocean’s shipyard in Geoje, South Korea, accompanied by a delegation representing more than 20 Canadian companies. The delegation included Algoma Steel, MDA Space, Telesat, Ontario Shipyards, Irving Shipbuilding, Seaspan Shipyards, Davie, Gastops, Hepburn, Boreal Energy, CAE, Babcock Canada and L3 Harris Canada.
During the tour, visitors reviewed submarine construction activities, including the automated production line for KSS-III. Fuhr also toured a completed, in-water KSS-III submarine that was launched for the Republic of Korea Navy in October 2025. Hanwha Ocean stated the same platform is being proposed for Canada’s Canadian Patrol Submarine Project (CPSP).
Company representatives described KSS-III as an in-service design currently in production and presented it as meeting CPSP requirements, including underwater surveillance capability and extended range and endurance for operations in Arctic conditions.
The delegation also visited the Republic of Korea Navy Submarine Force Command, where they met senior submarine leadership and toured an in-service KSS-III, as well as training and maintenance, repair and overhaul facilities. The visit outlined options for Royal Canadian Navy personnel to train alongside Korean counterparts during construction, and for maintenance support during Indo-Pacific deployments.
Hanwha Ocean said a contract in 2026 would enable delivery of four submarines before 2035 to replace Canada’s Victoria Class fleet, followed by eight additional boats delivered at a rate of one per year, completing a 12-submarine fleet by 2043. The company also linked its delivery schedule to earlier economic activity for Canadian industry.
The company positioned CPSP as a broader industrial cooperation programme, citing planned partnerships across multiple sectors. Initiatives referenced included a $345 million investment tied to Algoma Steel supply capacity, AI-related MOUs involving Cohere and Hanwha Systems, investment in PV Labs, partnerships with MDA Space and Telesat, and sustainment-related arrangements involving Babcock Canada, PCL Construction and CAE. A KPMG analysis released earlier this month forecast more than 200,000 person-years of employment across Canada between 2026 and 2040, equivalent to an average of around 15,000 jobs per year.
