Korean firms review Canada investment plans after submarine bid loss

Korean firms are reconsidering whether to proceed with the investments in Canada that they had pledged as part of Seoul's bid for Ottawa's multibillion-dollar submarine procurement project after the Korean consortium lost the competition.

Hanwha Ocean lost to Germany's ThyssenKrupp Marine Systems (TKMS) in the roughly 60 trillion won ($39.3 billion) competition to replace the Royal Canadian Navy's aging fleet of four Victoria-class submarines with up to 12 new 3,000-ton diesel-electric vessels.

Contrary to speculation that Korean firms would abandon their Canadian investment plans following the failed bid, the companies are still weighing their next steps.

The uncertainty comes even as the Canadian government continues to emphasize the importance of expanding bilateral business ties.

Hyundai Motor Group, which had proposed building a nationwide hydrogen mobility and logistics ecosystem in Canada, said that it has not decided to abandon the so-called Project Beaver and is considering its next steps.

“Our hydrogen business in Canada was part of Team Korea's package deal that was tied to ...