South Korean shipbuilder Hanwha Ocean has formalised a memorandum of understanding (MoU) with Canada’s PCL Construction to advance infrastructure development for the Canadian Patrol Submarine Project (CPSP).
Hanwha Ocean’s KSS-III submarine and Thyssen Krupp Marine Systems from Germany were two of the qualified suppliers selected by the Canadian government for the CPSP.
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The project, announced in July 2024, aims to provide the Royal Canadian Navy with up to 12 new submarines to enhance maritime security and operational capabilities along Canada’s coastlines.
Hanwha Ocean aims to deliver four of its KSS-III submarines to Canada before 2035 if awarded a contract in 2026, according to a 10 November 2025 statement from PCL.
This would allow for replacement of the existing Victoria-class fleet within that timeframe, with a projection that earlier retirement of the submarines could result in estimated maintenance and support cost savings of C$1bn ($714m).
After delivery of the initial four submarines, Hanwha Ocean plans to supply the remaining eight vessels at a rate of one per year, targeting full fleet delivery by 2043.
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By GlobalDataPCL has asserted that no alternative supplier currently offers a comparable delivery timeline.
PCL Construction Canadian operations chief operating officer Mike Wieninger stated: “PCL Construction is proud to join Hanwha Ocean’s Team to collaborate on the planning and construction of infrastructure for the Canadian Patrol Submarine Project.
“Our company has significant experience partnering with the government of Canada, the Department of National Defence and the Canadian Armed Forces on projects across Canada. We believe PCL’s expertise and collaborative approach will be a great asset to Hanwha Ocean’s proposal for this critical project.”
Hanwha Ocean has signed teaming agreements and MoUs with more than 12 Canadian companies since 2023 for long-term cooperation on the Canadian Patrol Submarine Project.
The company also signed contracts with Canadian companies Modest Tree and Hepburn Engineering.
