Hanwha and Algoma Steel Sign Deal Tied to Canadian Submarine Bid
Hanwha steel deal boosts Canada defence manufacturing and submarine bid Algoma partnership could support jobs, supply chains, and a major Navy contract
South Korean defence firm Hanwha and Algoma Steel have signed a memorandum of understanding to supply militarygrade steel for a possible land defence vehicle project in Canada. The agreement also involves the Automotive Parts Manufacturers' Association and is connected to Hanwha's bid to win a contract to supply up to 12 submarines to the Royal Canadian Navy.
The announcement was made in Vaughan, Ontario, alongside South Korean government officials. Hanwha and its German rival, ThyssenKrupp Marine Systems, have both offered economic benefits to Canada as part of the submarine competition, with a federal decision expected this month.
Algoma Steel said the deal could support its diversification efforts at a difficult time, as the company has faced pressure from U.S. tariffs on Canadian steel and job cuts earlier this year. Industry representatives said the broader manufacturing impact could be significant if the submarine contract is awarded to Hanwha.