The CEO of ThyssenKrupp Marine Systems (TKMS), a German company in line to construct Canada’s new submarines, is advocating for increased collaboration among European shipbuilders. This initiative could potentially impact Canada as its navy contemplates the addition of corvettes to its fleet. In an interview with CBC News, Oliver Burkhard emphasized the recent partnership between TKMS and the Spanish shipbuilder Navantia S.A., aiming to explore joint naval projects, including the potential production of TKMS submarine designs at Navantia’s shipyards in Spain.
Burkhard stressed the importance of cooperation among shipbuilders, noting a surge in demand for warship construction worldwide. A recent report by Imarc projected a growth of over five percent in the sector over the next decade. Apart from submarines, the Canadian navy has initiated the construction of River-Class destroyers and expressed interest in smaller, cost-effective corvettes capable of operating in icy waters. Irving Shipbuilding is currently constructing the destroyers in Halifax as part of Canada’s National Shipbuilding Program.
Given Canada’s lack of modern submarine building expertise, the planned 12 submarines will be constructed in Germany. Burkhard, ahead of his visit to Ottawa, mentioned that TKMS is engaging with Canadian partners for the submarine program. The German company was recently selected as the preferred supplier for Canada’s submarines, with a contract expected to be finalized by the end of 2027 or sooner.
Burkhard hinted at the possibility of exporting TKMS’ MEKO A-100 corvette design to Canada for local construction, although no formal discussions have taken place on this matter. The Canadian navy identified the need for corvettes last year and has been evaluating the role and capabilities required for such vessels. Defense expert Rob Huebert emphasized the importance of military necessity in defense procurement and supported the idea of enhancing the navy’s fleet capacity.
Burkhard likened the current shipbuilding market conditions to the aerospace industry in the 1960s, which led to the creation of Airbus as a response to U.S. defense contractors’ dominance. He suggested that industry collaboration, akin to the Airbus model, could drive innovation and efficiency in European shipbuilding. The need for closer partnerships among European defense companies was underlined by a study from the Center for Strategic and International Studies (CSIS) three years ago, emphasizing the significance of increased cooperation despite rising defense expenditures in Europe.