Canada’s ambitious Canadian Patrol Submarine Project (CPSP) took a decisive step forward this week as Hanwha Ocean, a global powerhouse in submarine design and construction, signed a formal Teaming Agreement with Babcock Canada, the country’s trusted submarine sustainment leader.
The partnership cements Babcock’s role as the exclusive In-Service Support partner for Hanwha Ocean’s bid on CPSP, reinforcing a collaboration that began with a Memorandum of Understanding in 2021 and a Technical Cooperation Agreement in 2022.
“This agreement further strengthens our existing relationship with Hanwha Ocean and enables the combination of both organisations’ extensive experience on the Canadian Patrol Submarine Project,” stated Tony March, CEO, Babcock Canada.
Building Canada’s Future Submarine Fleet
The CPSP is one of the largest conventional submarine procurements in modern history and represents a once-in-a-generation transformation for Canada’s naval capability. With a target of entering service by 2035, the project envisions a fleet of up to twelve submarines operating seamlessly from coast to coast to coast.
Delivering such a program requires deep collaboration between Canada, its chosen submarine builder, and an experienced in-service support partner. With Hanwha Ocean’s proven shipbuilding expertise and Babcock’s unrivalled sustainment experience, the partnership aims to provide Canada with not only a cutting-edge fleet but also a sovereign sustainment solution that spans the entire life cycle—from build to decommissioning.
“Hanwha Ocean’s proven submarine construction capability and the fastest delivery schedule, combined with Babcock’s established in-country supply chain and deep global sustainment knowledge, will provide the Royal Canadian Navy with the lowest risk and most reliable solution to ensure optimal availability of the submarine fleet,” expressed VAdm (Ret.) Steve Jeong, Senior Executive Vice President, Head of Naval Ship Global Business, Hanwha Ocean.
Speed, Scale, and Capability
Hanwha Ocean, already a global leader in submarine construction, offers unmatched delivery speed. The company has pledged the ability to deliver its first KSS-III Canadian Patrol Submarine within six years, followed by one additional submarine per year. If a contract is awarded in 2026, Canada could have four submarines in operation by 2035, with the first delivered as early as 2032.
This accelerated schedule provides Canada with the fastest pathway to a modern submarine capability, addressing both strategic security imperatives and operational demands.
Canadian Expertise at the Core
Babcock Canada’s role is no less critical. As the Prime Contractor for the Royal Canadian Navy’s Victoria Class In-Service Support Contract, Babcock has spent more than 17 years leading Canada’s only submarine sustainment enterprise. In the United Kingdom, Babcock sustains the entire Royal Navy submarine fleet, and its expertise extends across allied navies worldwide.
In Canada, the company has built a reputation for combining global sustainment knowledge with Canadian talent and industry partnerships. From program management to maintenance, engineering, and supply chain support, Babcock has become synonymous with the operational availability of Canada’s current submarine fleet.
A Sovereign Sustainment Solution
The teaming of Hanwha Ocean and Babcock Canada delivers more than submarines. It offers Canada a sovereign capability to build, operate, and sustain its future fleet without over-reliance on foreign support. It is a partnership designed to meet the Royal Canadian Navy’s needs where and when they arise—ensuring readiness, resilience, and the ability to project Canadian naval strength well into the mid-21st century.
As Canada looks ahead to one of its most consequential defence procurements, the Hanwha-Babcock alliance sets a clear course: modern submarines delivered at pace, supported by trusted Canadian expertise, and sustained across their entire operational lives.