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UK Joins Fierce Race for 8 Trillion Won Submarine Project Involving Korea

UK Launches Strategic Lobby in Support of Sweden's Saab
Korea Competes Amid "Buy European" Policy

The competition surrounding Poland's next-generation submarine procurement project, known as the "Orka Project," is intensifying. Alongside Korea, Italy, Spain, France, Germany, and Sweden, the United Kingdom has recently joined the race.


According to Yonhap News, citing foreign media reports on the 14th (local time), Swedish defense company Saab included an official letter of support jointly signed by UK Prime Minister Keir Starmer and Swedish Prime Minister Ulf Kristersson in its final proposal submitted to the Polish government at the end of last month.



UK Joins Fierce Race for 8 Trillion Won Submarine Project Involving Korea Hanwha Ocean's Jangbogo III Batch-2 Submarine. Hanwha Ocean

In the letter, the two leaders emphasized that Saab’s submarine is "optimized for the unique operational environment of the Baltic Sea," and wrote that if Poland acquires this submarine, security in the Baltic Sea will be further strengthened.


If Saab wins the contract, it is highly likely that UK defense company Babcock will secure some agreements related to submarine construction. For this reason, some analysts say that the UK’s public support for Sweden’s bid is not merely a diplomatic gesture. The UK government is also highlighting that defense exports are a key growth driver for its economy, effectively providing indirect support for Saab’s proposal.


UK Joins Fierce Race for 8 Trillion Won Submarine Project Involving Korea Keir Starmer, UK Prime Minister. Yonhap News

The Orka Project is estimated to be worth about 3.4 trillion won for initial construction alone, and up to 8 trillion won when including maintenance, repair, and operation. Not only Hanwha Ocean and HD Hyundai Heavy Industries from Korea, but also major European companies such as Germany’s TKMS, Italy’s Fincantieri, and Sweden’s Saab are participating in large numbers.



However, Polish media outlets believe that, considering the EU’s "Buy European" policy, Germany, Italy, and Sweden are strong frontrunners. The fact that all are EU and NATO member states, like Poland, is also seen as an advantage.


Following the war in Ukraine, defense spending has surged across Europe, making the Orka Project a symbolic project in the continent’s defense industry competition. Polish authorities have stated that the final partner "could be decided within a few weeks."


© The Asia Business Daily(www.asiae.co.kr). All rights reserved.


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