Hanhwa Aerospace Signs MOU with Canadian APMA for Military Vehicle Production
Joint venture with Hanwha Ocean conditional on winning Canada's $40.6B submarine project
SEOUL, April 30 (Yonhap) -- Hanhwa Aerospace Co., a defense affiliate of the country's Hanwha Group, said Thursday that it has signed a memorandum of understanding with Canada's Automotive Parts Manufacturers' Association (APMA) to establish a new entity for the production of non-commercial industrial and military vehicles. The joint venture (JV) deal with the APMA and its sister company, Hanwha Ocean Co., would proceed on the condition that the shipbuilder is selected for Canada's massive defense project, it said. Hanwha Ocean, the South Korean conglomerate's shipbuilding subsidiary, is bidding for Canada's Canadian Patrol Submarine Project (CPSP), valued at about 60 trillion won (US$40.6 billion), which involves the potential procurement of up to 12 conventional diesel-electric submarines. Hanwha is competing against Thyssenkrupp Marine Systems of Germany for the project. The Canadian JV will be in charge of the design and production of non-commercial industrial vehicles, including heavy axle and special purpose vehicles, for use by the Canadian Armed Forces and others.
