Canada's Massive Submarine Deal: Why Hanwha Ocean Could Become Korea's Next Defense Giant
Introduction Canada's submarine replacement program may become one of the most important defense contracts of the decade. While most investors focus on traditional defense giants such as Lockheed Martin, RTX, and BAE Systems, an unexpected contender has emerged from South Korea. Hanwha Ocean (KRX: 042660) is increasingly viewed as a serious candidate for Canada's future submarine fleet, and recent defense cooperation agreements between Canada and South Korea have strengthened that possibility. For investors, this story extends far beyond a single contract. It highlights the growing global influence of Korea's defense and shipbuilding industries. Why Canada Needs New Submarines Canada's Victoria-class submarines are aging and approaching the end of their operational lives. To modernize its naval capabilities, Canada launched the Canadian Patrol Submarine Project (CPSP), one of the largest naval procurement programs in its history. Industry est...