Key Takeaways

• Naval Group criticizes TKMS for transferring submarine technology that has led to competitors in Turkey and Korea.
• TKMS defends its technology transfer practices, asserting compliance and safeguarding intellectual property.
• France’s DGA emphasizes the need to balance export demands with maintaining critical defense capabilities.

France and Germany Clash Over Submarine Technology Transfers

French defense contractor Naval Group has raised concerns about German rival ThyssenKrupp Marine Systems (TKMS) regarding the impact of technology transfers on European submarine manufacturers. At a recent defense industry roundtable in Paris, Guillaume Rochard, Naval Group’s head of strategy, emphasized that TKMS has contributed to the emergence of new competitors by sharing submarine technology with nations such as Turkey and South Korea. Rochard highlighted that this has allowed these countries to enter the submarine export market, intensifying competition for European vendors.

Naval Group, a key player in the submarine sector, views TKMS as its primary competitor in conventional submarines. Rochard noted that Naval Group is cautious about its own technology transfers to avoid fostering further competition. This claim contrasts sharply with TKMS’s assertion that it maintains responsible and compliant technology transfer practices. In a response to Defense News, TKMS stated that their method of technology transfer adheres to strict regulations and that they prioritize the safeguarding of intellectual property.

The discussion further revealed that TKMS has supplied technology for Turkey’s Reis-class submarines, which are currently under construction following a 2009 contract for six submarines featuring air-independent propulsion. As of August 2024, the first of these submarines is operational. In a significant move, Turkey recently announced the start of construction of its first domestically developed submarine, indicating a shift towards greater self-sufficiency in military technology.

Alexandre Lahousse, head of the defense industry directorate at France’s armaments directorate (DGA), addressed the complex nature of international defense dealings at the roundtable. He noted that export clients are increasingly demanding larger offsets and more extensive program sharing, necessitating careful negotiations to ensure that France retains critical defense skills and capabilities. Lahousse highlighted the importance of maintaining strategic autonomy in defense, assuring that certain “red lines” will be drawn regarding technology transfer negotiations with foreign partners.

Similar technology-sharing practices have been observed in South Korea, where TKMS has also provided designs and major components for the Class 214 submarines, with production handled by Hyundai Heavy Industries and Hanwha Ocean. The first two boats entered service in 2008.

In summary, the exchange highlights ongoing tensions between European defense contractors over technology sharing and the implications it holds for national security and industrial competitiveness. As countries strive for autonomy in defense technology, navigating international agreements requires delicate balance and strategic foresight.

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