The CEO of ThyssenKrupp Marine Systems (TKMS), the German company poised to construct Canada’s new submarines, is advocating for enhanced collaboration among European shipbuilders. This initiative could have implications in Canada as the navy contemplates augmenting its fleet with corvettes.
Oliver Burkhard, in an interview with CBC News, emphasized TKMS’s recent partnership with the Spanish government-owned Navantia S.A. The two firms are exploring joint ventures on naval projects, potentially including the production of TKMS submarine designs at Navantia’s Spanish shipyards.
Burkhard stressed the importance of cooperation among shipbuilders, noting the rising demand for warship construction. A report by Imarc projected a more than five percent increase in demand over the next decade.
In addition to submarines, the Canadian navy is progressing with the construction of River-Class destroyers and has signaled a military need for smaller, cost-effective, ice-capable corvettes. The destroyers are being constructed by Irving Shipbuilding in Halifax, while the 12 planned submarines will be built in Germany due to Canada’s lack of modern submarine building expertise.
Prior to his visit to Ottawa to meet with TKMS’s Canadian submarine program partners, Burkhard expressed confidence in finalizing a contract with the Carney government by the end of 2027. He acknowledged the potential for exporting TKMS’s MEKO A-100 corvette design to be built in Canada.
The Canadian navy identified the need for corvettes last year and has been evaluating the role and capabilities of such warships. Defense expert Rob Huebert emphasized the necessity of focusing on military requirements rather than economic benefits in defense procurement decisions.
Burkhard compared current shipbuilding market conditions to the 1960s when European aerospace companies collaborated to create Airbus in response to U.S. defense contractors’ competition. He proposed the idea of closer cooperation among European shipyards, especially in submarine construction, akin to the Airbus model.
Acknowledging the complexities involved, Burkhard suggested that the industry could lead the way in fostering collaboration similar to the Airbus consortium. The need for enhanced partnerships among European defense companies was highlighted by the Center for Strategic and International Studies three years ago, emphasizing a trend of increased defense spending but reduced cooperation among European nations.