Canada chooses Germany's TKMS to build new fleet of submarines

Canada has chosen Germany's Thyssenkrupp Marine Systems (TKMS) to build its new multi-billion-dollar fleet of submarines, Prime Minister Mark Carney said Monday, as his government works to deepen defence ties with European NATO allies.

Canada's ageing British-built Victoria-class submarines are to be formally decommissioned within the next 10 years. Ottawa in 2024 launched a process to procure 12 new submarines and last August named two finalists for the contract: TKMS and Hanwha Ocean Co. of South Korea.

Speaking in the Atlantic coast city of Halifax before flying to the NATO meet, Carney said TKMS had edged out the South Korean firm. In his announcement, Carney noted that TKMS "provides submarines to over one-third of the NATO Alliance."