TKMS and Magellan Sign Teaming Agreement to Support Heavyweight Torpedo Production and In-Service Support for the Canadian Patrol Submarine Project
Press Release + Noah Note
The Teaming Agreement establishes a framework for cooperation between both companies to support Canada’s submarine program, with a particular focus on heavyweight torpedo production and in-service support for the Canadian Patrol Submarine Project (CPSP).
The collaboration aims to build sustainable, high-value industrial capabilities in Canada by combining TKMS’s global defence expertise with Magellan’s experience in complexfabrication, manufacturing, and assembly.
The agreement also provides a basis for exploring additional export opportunities for Magellan arising from TKMS’s international customers and programs.
Wedel, February 11, 2026 – TKMS and Magellan Aerospace Corporation (“Magellan”), a global, integrated aerospace company, have signed a Teaming Agreement aimed at strengthening industrial cooperation in support of Canada’s future submarine capabilities. Under the agreement, the parties will jointly explore, develop and implement cooperation related to heavyweight torpedo production and the subsequent in-service support phase for the Canadian Patrol Submarine Project (CPSP).
In addition, the parties will investigate other programs with export potential for Magellan, leveraging TKMS’s international customer base and ongoing projects. This cooperation will draw on Magellan’s experience in complex fabrications, design, development, manufacturing and assembly, as program requirements are finalized.
“Building on our collaboration with TKMS, Magellan is pleased to expand our partnership in support of the Canadian Patrol Submarine Project,” said Mr. Haydn Martin, Vice President, Business Development, Marketing and Contracts at Magellan Aerospace. “With six decades of expertise delivering mission-critical defence propulsion technologies across air, sea, and space—and proven expertise in propulsion, engineering, and precision manufacturing—this partnership reflects a shared commitment to reliable, innovative undersea capabilities that support Canada’s national security objectives.”
“TKMS and Magellan have built up a long-lasting relationship, as both parties have successfully been developing two sections of the Anti-Torpedo Torpedo that is expected to be introduced to the market in 2029,” said Michael Ozegowski, Executive Vice-President, Segment Atlas Elektronik. “TKMS signed the contract for the design engineering phase of the final assembly facility for the Anti-Torpedo Torpedo at the Rockwood plant. We are looking forward to strengthening our cooperation and collaboration with Magellan, a strategic supplier to Canada and to the defence industry in general.”
Driven by shared values, mutual trust and a passion for innovation, both parties are committed to combining their strengths to create sustainable, high-value industrial capabilities that will contribute significantly to the Canadian submarine program. The collaboration underscores TKMS’s continued commitment to working with Canadian industry partners to support sovereign defence capabilities, and reflects a joint commitment to increasing skilled employment opportunities, enhancing domestic value creation and fostering long-term economic benefits within Canada.
About TKMS
TKMS is one of the world’s leading naval companies with more than 9,100 employees (including temporary workers) at three shipyards in Kiel, Wismar and Itajaí (Brazil), and with locations worldwide. The company is active as a systems supplier for submarines and naval surface vessels as well as for maritime electronics and security technologies. Around 3,300 employees work at the Kiel site, making it the largest shipyard location in Germany. 185 years of history and the constant striving for improvement allow the company to set new standards time and time again. TKMS offers its customers worldwide tailored solutions to meet the highly complex challenges of a changing world. The driving forces behind this innovative energy are the company’s employees, who shape the future of TKMS with passion and commitment every day.
More information at: www.tkmsgroup.com
About Magellan Aerospace Corporation
Magellan Aerospace Corporation is a global aerospace company that provides complex assemblies and systems solutions to aircraft and engine manufacturers, and defence and space agencies worldwide. Magellan designs and manufactures aeroengine and aerostructure assemblies and components for aerospace markets, advanced proprietary products for military and space markets, and provides engine and component repair and overhaul services worldwide. Magellan is a public company whose shares trade on the Toronto Stock Exchange (TSX: MAL), with operating units throughout North America, Europe, and India.
Noah Note: We now yave commitment from both sides to expand torpedo production to Canada in the event of an award. While LIG NEX1 is seemingly going at it alone TKMS is leveraging it's ongoing relationship with Magellan to try and derisk a bit of the production risk carried by this endevour.
Scoring a commitment to domestic production is a net benefit, although there are challenges at play. Torpedoes, especially modern ones, are highly digital, complex systems in themselves. Modern torpedoes are no easier to construct in terms of technology and infrastructure as, say, a modern cruise missile. Both require significant investment and technology.
Some would call it more complex in some aspects. There is the Enviornmental challenge of operating underwater, the complexity of building the digital architecture that modern Torpedoes rely on, and the frequent issue that traditionally things like Silver-Zinc batteries—which are a niche, toxic, and expensive chemical process—or Otto Fuel II used in many torpedoes are a known supply constraint.
For Magellan they do have some experience dealing with these issues and contructing a modern underwater munition thanks to SeaSpider. It isnt a torpedo. The process to develop and manufacture them is very different in many aspects, however it does provide a basis for which they can build off of more easier than many others in industry with no experience.
Its a starting point at the least. Either way it's a net benefit to have this kind of munition production in Canada. If TKMS and Kongsberg could also leverage rumored NSM production? That will be a serious munitions package to dangle infront of us considering we would be manufacturing three of the four major munitions of the 212CD. The only one missing would be IDAS (not discussing the supply benefits of NSM to the fleet as a whole)
Some news from Korea
"while public actions by high-ranking government officials may have an immediate impact on the stock prices of Hanwha Ocean and HD Hyundai Heavy Industries, they actually provide information to their rival, Germany. Common sense dictates that government-to-government negotiations should distinguish between what should be disclosed and what should remain confidential."
"The industry is viewing Korean companies as being at a disadvantage. In this situation, if the Blue House were to intervene and get involved in the Canadian government's bidding war with Korea and Germany, thereby securing a contract that cannot guarantee profits, it could result in a "winner's curse" or a "poisoned apple." The Hyundai Motor Group, which has no connection to the defense industry, is already shaping up to be the biggest influencer on the Canadian submarine contract. It remains to be seen how much the Blue House-led initiatives—such as LIG Nex1's construction of a torpedo factory, Korean Air's purchase of Canadian military aircraft, and the import of Canadian crude oil worth trillions of won—will benefit the companies.
If the Blue House succeeds in securing the Canadian submarine contract, it can tout its accomplishment as a solid "K-Defense salesman." Even if it fails, it can be presented as a "lost but good fight." However, the burden of the Blue House's failed "high-level sales diplomacy" will be significant. It could be seen as akin to the Yoon Seok-yeol administration's Busan Expo disaster."