Press Release
Hanwha Ocean, one of two shortlisted qualified bidders in the Canadian Patrol Submarine Project (CPSP), and Babcock Canada (Babcock), Canada’s leader in submarine support and Prime Contractor of the Royal Canadian Navy’s (RCN) current submarine sustainment contract, are pursuing a joint approach to the CPSP. The team’s proposed solution places long-term employment, skills transfer, and industrial participation in Canada at the core of its delivery.
On the sidelines of the United Kingdom – Republic of Korea Defence Logistics Committee in London, representatives from both companies met to explore and develop sovereign sustainment and long-term employment pathways in Canada. The team also discussed localization strategies, including the development of Canadian solutions to enable patriation of Babcock International Group’s Weapons Handling and Launch Discharge System, a critical component of Hanwha Ocean's KSS-III submarine platform.
Under this partnership, Hanwha Ocean brings a proven, in-service KSS-III submarine platform together with extensive shipbuilding expertise. Babcock brings deep submarine sustainment understanding and experience, a highly specialized Canadian workforce and supply chain, and critical subsystems, including the Weapons Handling and Launch Discharge System and key torpedo tube components.
Working alongside Hanwha Ocean, Babcock will lead localization efforts in Canada.
“CPSP is not just about delivering a submarine platform. It is about building long-term industrial capability and skilled jobs in Canada,” said Charlie SC Eoh, President of Naval Ship Business at Hanwha Ocean. “Through our partnership, with Babcock at the center of localization, we are committed to supporting sovereign sustainment and lasting workforce development for Canada.”
This industry trilateral collaboration between South Korea, the United Kingdom, and Canada ensures that the CPSP generates sustained, high-quality employment for Canadian workers over decades, spanning MRO, supply-chain participation, engineering support, and skills development. The Hanwha–Babcock partnership embeds industrial capability and long-term employment across the full submarine lifecycle.
By combining Hanwha Ocean’s shipbuilding and platform expertise with Babcock’s sustainment capabilities, established local footprint, and critical subsystems, the partnership will deliver enduring economic and workforce benefits aligned with Canada’s Industrial and Technological Benefits (ITB) program objectives and long-term naval requirements.
“To successfully deliver and operate a fleet of this magnitude from coast to coast to coast, significant investment and commitment will be made, giving Canada a transformational opportunity with significant economic value,” said Tony March, CEO, Babcock Canada. “Our team is committed to employing Canadians across all lines of business, through our supply chain, ITB investments, and future infrastructure developments. Our Canadian specialists, alongside Hanwha Ocean, will deliver an all-encompassing, purpose-built, and sovereign Canadian sustainment solution that will meet our Nation’s defence and economic needs for generations to come.”
The CPSP is a flagship program aimed at acquiring 12 submarines to recapitalize the RCN’s fleet and strengthen Canada’s long-term maritime sovereignty across the Pacific, Atlantic, and Arctic. The CPSP is widely regarded as one of Canada’s most significant and complex defense procurement programs, strongly emphasizing industrial participation, sovereign sustainment, and long-term workforce development.
About KSS-III Platform
The proposed KSS-III-based Canadian Patrol Submarine is a proven, in-service platform actively operated by the Republic of Korea Navy. Developed through decades of indigenous design and spiral development, KSS-III represents the latest evolution of Hanwha Ocean’s modern, ocean-going conventional submarine portfolio.
Equipped with lithium-ion batteries and an air-independent propulsion (AIP) system, the platform delivers extended submerged endurance, high levels of stealth, and strong operational flexibility. Its mature design, validated supply chain, and established sustainment data make it a low-risk solution well suited to supporting Canada’s long-term operational and industrial objectives under CPSP.
About Hanwha Ocean
Hanwha Ocean is one of the world’s leading shipbuilders, with a proven track record across complex naval and commercial shipbuilding programmes. Its Geoje shipyard in South Korea—covering approximately five square kilometres—is among the largest and most advanced shipbuilding facilities globally, integrating design, construction, testing and lifecycle support within a single industrial complex.
For more than four decades, Hanwha Ocean has designed, built and sustained submarines and surface combatants for the Republic of Korea Navy, developing deep expertise in naval architecture, combat system integration and through-life support. Since its establishment in 1973, the company has delivered more than 1,400 vessels worldwide, including over 110 naval ships, alongside a broad portfolio of commercial vessels and offshore platforms.
About Babcock Canada
Operating in Canada since 2008, Babcock Canada (Babcock) is a wholly owned subsidiary of Babcock International Group, a global defence, aerospace, and security company. For over 17 years, Babcock has been proud to play a critical role in supporting Canada’s safety and security, delivering engineering and critical support services to defence and civilian customers.
Drawing on decades of global experience, Babcock delivers fully integrated solutions tailored specifically for Canada and its unique environment across the land, marine, and aviation sectors.
In the marine industry, Babcock is proud to be a trusted partner of the Royal Canadian Navy and an undisputed leader in Canada’s submarine sustainment enterprise, leading the in-service support of the Victoria Class submarines throughout the course of the Victoria In-Service Support Contract.
Babcock’s work has generated over $3 billion in GDP impact on the Canadian economy and has maintained a total of 2,472 jobs annually, 55% of which are highly skilled. Babcock is committed to establishing partnerships with local universities, colleges, Indigenous communities, and small and medium-sized businesses to support skills development, training, and innovation.
At Babcock, we are proud to be a trusted partner of the Canadian Armed Forces and Armed Forces of allied nations around the world. Babcock’s mission is guided by the needs of our customers, we ensure their services and assets are equipped to fulfill their customers’ missions wherever, whenever, and however needed.
