Korea-Canada Defense Cooperation: Submarine Deal Could Be ‘Turning Point’
Ottawa, Canada – South Korea and Canada are deepening their security and defense ties, with a potential multi-billion dollar submarine deal at the center of discussions. The move comes as both nations seek to bolster their strategic alliances and address evolving geopolitical challenges.
South Korean Defence Minister An Gyu-back met with his Canadian counterpart, Bill Blair, in Ottawa on , to discuss strengthening defense and arms cooperation, according to a statement released by the South Korean Ministry of National Defence. The meeting took place as part of the second Korea-Canada 2+2 Foreign and Defence Ministers’ Meeting.
Both ministers lauded the progress made in bilateral cooperation since the summit between South Korean President Yoon Suk Yeol and Canadian Prime Minister Justin Trudeau in , where they established a ‘Security and Defence Cooperation Partnership.’ This partnership aims to enhance collaboration in the security and defense sectors.
Minister Blair highlighted the importance of future cooperation in emerging security areas, specifically mentioning space and maritime security, and underscored the significance of collaboration with South Korea in these domains. He emphasized Canada’s desire for a long-term partnership, as outlined in its recently released defence industry strategy.
Minister An, in turn, stressed that South Korea’s participation in Canada’s next-generation submarine program represents more than just a potential arms sale. He argued it would be a pivotal moment, significantly advancing the strategic defense and industrial cooperation between the two countries. South Korea is competing with Germany’s ThyssenKrupp Marine Systems (TKMS) for the Canadian Patrol Submarine Project (CPSP), a deal valued at approximately US$44 billion (55.8 billion Korean Won).
The Canadian government is seeking to procure 12 submarines, including lifetime maintenance and support, making it one of the largest defense deals in recent history, both in terms of initial purchase cost and long-term maintenance expenses. The competition for the contract is now down to these two contenders.
The potential deal for South Korea extends beyond economic benefits. Winning the CPSP would mark a major export breakthrough, opening doors to the Western defense market for the world’s 10th largest arms exporter, which currently holds a 2.2 percent market share. It would also strengthen the alliance between Canada and the United States, and potentially provide South Korea with a strategic foothold in the Arctic region, according to experts.
During a working lunch following the bilateral meeting, Minister An emphasized the growing threat posed by North Korea’s nuclear and missile capabilities to the international community. He urged Canada to continue supporting South Korea’s policy aimed at achieving peace on the Korean Peninsula and the complete denuclearization of North Korea.
The ministers are scheduled to participate in the second Korea-Canada 2+2 Foreign and Defence Ministers’ Meeting later on , where they will exchange views on bilateral relations, regional, and international issues, and discuss ways to further develop their partnership. The first such meeting was held in Ottawa on .
This deepening of ties between South Korea and Canada occurs against a backdrop of increasing geopolitical instability and a growing need for international cooperation in addressing shared security challenges. The outcome of the Canadian submarine competition will be closely watched by defense industries and governments worldwide, signaling a potential shift in the global arms market and the strengthening of strategic alliances.
The pursuit of this deal by South Korea also comes as Germany’s TKMS is simultaneously engaged in negotiations with India for a separate submarine deal, valued at US$8 billion, to build six diesel-electric attack submarines for the Indian Navy. This highlights the competitive landscape in the global submarine market and the strategic importance of these large-scale defense contracts.