Canadian sub deal hinges on carmaker cooperation

Carmakers Hyundai Motor and Volkswagen have emerged as key players in the ongoing competition between Hanwha Ocean and TKMS to secure Canada’s order for 12 patrol submarines worth 60 billion Canadian dollars ($43 billion), which would be the largest single order in Korea’s defense export history if it were to win the bid. Amid Ottawa’s request for Korea and Germany to invest in Canada’s automotive industry in exchange for the massive submarine deal, market watchers are now focusing on whether Hyundai Motor will play its part in the project, which has already been elevated to a government-to-government initiative. According to sources familiar with the matter Friday, senior executives from Hyundai Motor and Hanwha Ocean will accompany presidential chief of staff Kang Hoon-sik and industry minister Kim Jung-kwan on their trip to Canada later this month to meet with Canadian Prime Minister Mark Carney and other top officials. Kang has served as Korea’s special envoy for strategic economic cooperation, tasked with visiting countries interested in purchasing Korean defense product