Title: German Official Discusses Canada's Submarine Production Potential

Germany's Armaments and Innovation Secretary Jens Plötner stated that Canada could feasibly build a significant portion of the submarines it plans to acquire for its navy. In an exclusive interview, Plötner emphasized that the decision ultimately lies with the Canadian government. He noted that given the current geopolitical climate, it may be strategically advantageous for Canada to consider domestic production.

"You're looking to acquire 12 submarines. That is a huge number," Plötner said. He explained that the program would extend over many years. He suggested that while there might be mutual interest in constructing the first submarine at an existing facility in Germany, it would be logical for Canada to request ThyssenKrupp Marine Systems (TKMS) to establish production capabilities in Canada for subsequent vessels.

TKMS is one of two shipyards competing to build Canada's new submarine fleet, alongside South Korea's Hanwha Ocean. The German and Norwegian partnership is promoting the Type 212CD submarine to Canada. During a recent visit by Prime Minister Mark Carney to TKMS's shipyard in Kiel, the company's CEO, Oliver Burkhard, proposed the idea of Canada manufacturing some of the submarines.

Plötner elaborated on this concept, highlighting TKMS's experience in setting up production facilities in other countries, which has been instrumental in South Korea's entry into the submarine industry. He stated, "I think having not only a maintenance and training site here in Canada, but actually a production site, would be an important contribution to our overall resilience in times of crisis or, God forbid, war."

Currently, Canada lacks the technical expertise to build submarines, and its existing shipyards would require significant upgrades. Regardless of which bid is selected, a maintenance facility will need to be established in Canada to support the new fleet.

Plötner mentioned that while Canadian and German officials have not formally discussed the establishment of a Canadian production facility, he believes the topic could be explored further. "I think the issue has been raised, but not yet in such a concrete manner. I think we're not in that phase yet," he said. However, he assured that if Canada expresses interest, they would find a receptive audience in Kiel.

The establishment of a Canadian submarine manufacturing facility could also address TKMS's production capacity challenges. The company has seen its order book triple in the past five years, leading to increased demand for its services. Recently, TKMS acquired the MV Werften shipyard in Germany to enhance its production capabilities.

Canada's submarine replacement program will be overseen by the newly formed Defence Investment Agency (DIA). Stephen Fuhr, the cabinet secretary responsible for the agency, has indicated that Ottawa will prioritize proposals that create the most Canadian jobs when selecting a contractor. He reiterated this stance during the agency's unveiling, stating, "If you go and spend billions of dollars on submarines with another country, that's a relationship you're going to have for a long time. Can we work that relationship in other ways that benefit Canada economically and the partner that we're working with?"