Toronto: Industry Minister Kim Jung-kwan left for Canada on Thursday to lend support for a South Korean consortium's bid to secure Canada's high-profile submarine project.
According to Yonhap News Agency, to help the Korean consortium win the estimated 60 trillion-won (US$41 billion) project, Kim plans to meet with Canadian Industry Minister Melanie Joly and other government officials. Kim is also scheduled to attend the completion ceremony for LG Energy Solution Ltd.'s joint electric vehicle battery plant in Ontario.
The Seoul government has been working to assist the Korean consortium, comprising Hanwha Ocean Co. and HD Hyundai Heavy Industries Co., in winning the Canadian Patrol Submarine Project, under which Canada plans to procure up to 12 submarines for patrol missions. The Korean consortium is one of the two final contenders for the high-profile project, alongside Germany's Thyssenkrupp Marine Systems.
"We are not jumping to conclusions on whether the bid is going well or not at the moment, and are just trying to do our best," Kim told reporters at Incheon International Airport, vowing to pitch Korea's package proposal that includes broad industrial collaboration opportunities to Canada.
Canada has reportedly shown interest in cooperation in the automobile sector in connection with the submarine deal, asking Korea's Hyundai Motor Co. to build a local manufacturing facility, while asking Germany's Volkswagen to expand its existing facility. The industry minister said he seeks to make progress in potential areas of cooperation currently being discussed, including mobility, through this week's trip.
Regarding a Canadian media report that Canada is considering splitting submarine orders to Korea and Germany by six each, Kim stated that Korea is seeking to win orders for all 12 submarines. Asked about U.S. tariffs, Kim expressed gratitude to the rival parties for agreeing to pass a special U.S. investment bill without delay by March 12.
With regard to escalating tension in the Middle East, the minister reaffirmed that South Korea has enough oil reserves to last a few months, adding that the government will do its utmost to ensure the stable supply of oil amid the Iran crisis.