Hanwha adds space technology to its bid for Canada’s 12-submarine contract

Korea’s Hanwha Corp. is adding a space pitch to its submarine bid in Canada, offering to help with rockets as Ottawa prepares to choose a builder for as many as 12 submarines, according to Bloomberg. The move underscores how foreign defense companies are competing not just on military hardware, but on broader industrial and technology partnerships.

Hanwha’s effort comes as Canada weighs one of its largest and most important defense purchases in years. The submarine contract is expected to shape the country’s navy for decades, while also delivering work to local industries and influencing Ottawa’s ties with major defense suppliers abroad.

According to Bloomberg, Hanwha is “sweetening” its bid by proposing cooperation in space as well as undersea technology. That added offer appears designed to make the South Korean company’s package more attractive to Canadian officials who have stressed economic benefits, domestic industrial participation and long-term strategic value in major procurement decisions.

The submarine competition is drawing intense attention because Canada is looking for a fleet that can operate in challenging Arctic waters and strengthen its maritime defenses. A contract for up to 12 boats would be a major win for whichever company prevails, and a significant setback for the losers, which are likely to include some of the world’s largest defense manufacturers.

The report also follows a separate Bloomberg story showing the wider effect of Canada’s procurement choices on domestic industry. In that piece, Bloomberg said Canadian defense firms were set to benefit after Prime Minister Mark Carney picked Saab for a jet-related contract, highlighting how Ottawa’s spending decisions can ripple through aerospace and defense supply chains.

For Hanwha, the strategy suggests the company is trying to compete on more than price and performance. By linking submarines with space-related cooperation, it is signaling a broader industrial partnership that could appeal to Canada as it seeks both military capability and economic returns from the deal.