Up to twelve submarines for Canada: Kiel shipyard TKMS selected as preferred supplier
Canada has designated thyssenkrupp Marine Systems as the preferred supplier for up to twelve submarines of the Type 212CD – the largest defense procurement in Canadian history and the largest single contract in TKMS company history. The submarines are set to be built in Kiel and Wismar.
On July 6, 2026, Canadian Prime Minister Mark Carney announced at the Halifax naval base that thyssenkrupp Marine Systems (TKMS) had been selected as the preferred bidder for the Canadian Patrol Submarine Project. Canada is now negotiating exclusively with the Kiel-based shipyard; the contract for up to twelve submarines is set to be signed by the end of 2027 at the latest. TKMS CEO Oliver Burkhard described it as the largest single order in the company's history — one that would grow the shipyard's order backlog by more than half.
The Type 212CD is a German-Norwegian joint development: conventionally powered, with an air-independent fuel cell drivetrain, extremely quiet, and designed for operations beneath Arctic ice — a key criterion for Canada, which is replacing its four aging Victoria-class vessels. The submarines are being built at TKMS locations in Kiel and Wismar; in Wismar alone, up to 1,500 additional jobs are expected to be created. Canadian industry will be involved through component manufacturing and the future maintenance of the fleet on home soil.
TKMS prevailed over Hanwha Ocean from South Korea, which had been in the running as the second qualified bidder since August 2025. Construction and service are estimated at around 20 billion euros, with the total volume over the decades-long contract period estimated at approximately 100 billion Canadian dollars. The first four submarines are scheduled for delivery by 2034 – with the first potentially as early as 2033, according to TKMS. Federal Chancellor Merz described the decision as a "strong signal" for transatlantic cooperation.