South Korea Rallies Whole-of-Government Support for Canadian Submarine Bid

Participants pose for a commemorative photo following the signing ceremony of the Government Support Commitment Letter for the Canadian Patrol Submarine Project (CPSP), held at the Defense Acquisition Program Administration (DAPA) headquarters in Gwacheon on February 20 (Friday). On Friday, the Defense Acquisition Program Administration (DAPA) hosted a signing ceremony at its Gwacheon headquarters to issue a government support letter for the “One Team” consortium formed by Hanwha Ocean and HD Hyundai Heavy Industries. The document underscores Seoul’s commitment to supporting the consortium’s bid for Canada’s Canadian Patrol Submarine Project (CPSP) and ensuring delivery of proposed Industrial and Technological Benefits (ITB).

Industrial Cooperation at the Core of the Competition

Canada’s CPSP competition places significant weight not only on platform performance, cost, and schedule, but also on tangible economic and technological contributions to Canadian industry. ITB commitments—ranging from technology transfer and supply chain integration to joint R&D and long-term industrial partnerships—are expected to be decisive factors in the final evaluation.

South Korean officials emphasized that the newly signed commitment reflects coordinated action across multiple ministries, including defense, foreign affairs, industry, science and ICT, and energy and environment authorities. The industrial cooperation projects embedded in the Korean proposal were jointly identified and refined at the interagency level before being incorporated into the formal bid package.

According to DAPA, the government will strengthen oversight and implementation management mechanisms to enhance credibility and ensure that proposed ITB measures are executed as pledged, should the Korean offer be selected.

“Beyond Platform Performance”

The Hanwha Ocean–HD Hyundai Heavy Industries partnership was established in February 2025 to consolidate South Korea’s submarine design, shipbuilding, and lifecycle support capabilities into a unified bid structure. Following Canada’s Request for Proposal (RFP) issued in November 2025, the consortium has worked in close coordination with government stakeholders to finalize its technical and industrial package.

In remarks delivered at the ceremony, DAPA Commissioner Yong-cheol Lee described the CPSP as “not merely a platform competition, but a comprehensive industrial cooperation package that must demonstrate governmental credibility and execution capability.”

He added that the South Korean government would “systematically provide the necessary support to ensure the consortium can responsibly fulfill its commitments.”

Strategic Significance

Seoul’s high-level engagement reflects the strategic weight attached to the CPSP opportunity. A win would mark one of the largest and most complex naval export achievements for South Korea’s defense and shipbuilding sectors, further cementing its position as a competitive supplier in the global submarine market.

More broadly, the CPSP campaign signals South Korea’s evolving export model: transitioning from transactional defense sales toward integrated, government-backed industrial partnership frameworks designed to meet increasingly stringent offset and domestic industry participation requirements in advanced procurement markets.

As the CPSP competition advances, the strength of ITB delivery assurances—backed at the sovereign level—may prove as critical as the technical merits of the submarines themselves.

K-DEFENSE NEWS | Strategic Analysis Desk

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#DAPA #HanwhaOcean #HDHyundaiHeavyIndustries
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#IndustrialCooperation #ITB #GlobalShipbuilding

Industrial Cooperation at the Core of the Competition

“Beyond Platform Performance”

Strategic Significance

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