The CEO of ThyssenKrupp Marine Systems (TKMS), the German company set to construct Canada’s new submarines, advocates for enhanced collaboration among European shipbuilders, a move that could have implications for Canada as the navy mulls over incorporating corvettes into its fleet. In a conversation with CBC News, Oliver Burkhard emphasized his company’s recent partnership with the Spanish government-owned Navantia S.A., exploring potential joint efforts on naval projects, including the production of TKMS submarine designs at Navantia’s Spanish shipyards. Burkhard stressed the importance of shipbuilder cooperation, citing the rising demand for warship construction, with projections indicating a more than five percent increase in the next decade according to a report by Imarc.
In addition to submarines, the Canadian navy is progressing with the construction of River-Class destroyers and has expressed interest in smaller, cost-effective corvettes capable of operating in icy conditions. The destroyers are under construction at Irving Shipbuilding in Halifax as part of the National Shipbuilding Program, while the planned 12 submarines are to be built in Germany due to Canada’s lack of modern submarine construction expertise.
During his upcoming visit to Ottawa, Burkhard will engage with companies collaborating with TKMS for Canada’s submarine program. The Carney government recently designated TKMS as the preferred supplier for the navy’s submarines, aiming to finalize a contract by the end of 2027. Burkhard anticipates a swift contracting process given the government’s prompt actions. He clarified that there are no plans to transfer work on the Canadian submarines to Navantia.
Before the TKMS selection, German officials discussed the potential supply of TKMS’ MEKO A-100 corvette design to a Canadian shipyard, contributing to Canada’s defense-industrial capabilities. While not part of the submarine bid, Burkhard confirmed the consideration of this possibility, emphasizing the potential for building the corvettes in Canada with TKMS’ design. The Canadian navy identified the need for corvettes last year, engaging in an analysis of the roles and capabilities required for such warships.
Expert Rob Huebert highlighted the necessity of addressing military needs over economic benefits in defense procurement. He supported the acquisition of corvettes for the navy and welcomed Burkhard’s recognition of the urgency for nations, including Canada, to bolster their defense capabilities. Burkhard drew parallels between the current shipbuilding market conditions and the creation of Airbus in the 1960s, stressing the importance of closer cooperation among European shipyards, particularly in submarine construction. Huebert emphasized the significance of increasing ship numbers and the ability to replace losses in potential conflicts.
While acknowledging the complexity of establishing a maritime equivalent of Airbus, Burkhard suggested that industry stakeholders could take the lead in fostering closer partnerships. He highlighted the historical tendencies of politicians to prioritize domestic shipyards but proposed industry-led collaboration akin to Airbus in the 1970s. The imperative for enhanced cooperation among European defense companies was underscored by a study from the Center for Strategic and International Studies (CSIS) three years ago, signaling a notable gap between increased defense spending and reduced cooperation among European nations.