Nearly $16 Billion On Line — German Firm TKMS Eyes “Mouth Watering” Indian & Australian Warship Deals

Germany’s ThyssenKrupp Marine Systems (TKMS), a renowned player in naval manufacturing, is hoping to clinch big-ticket deals as it competes for lucrative contracts floated by Australia and India.

While Australia is looking to acquire 11 brand-new general-purpose frigates under Project ‘Sea-3000’ to combat the new challenges in the Pacific, India is seeking new diesel-electric submarines to bolster its military might.

TKMS has emerged as a frontrunner in both competitions.

In November 2024, Australia’s National Security Committee (NSC) rejected proposals from Spanish, South Korean, and Italian companies and narrowed down the competition to two designs: Germany’s MEKO A-200 and Japan’s enhanced Mogami 30FFM.

The chosen warship will replace the Anzac-class fleet of the Royal Australian Navy (RAN).

According to reports, Australia is contemplating whether to purchase a larger and upgraded version of Japan’s Mogami 30 FFM, which has not yet been put into service or to go with a smaller MEKO A-200 made in Germany that is already operational with the Egyptian Navy.

J-20 “Defeats” F-22 Raptor Using Drones In Simulations! US-China Race To Operationalize AI-Enabled UAVs

Japanese officials have made their first public pitch against the TKMS offer in what appears to be an attempt at tipping the scale in its favor.

The representatives from Japan’s Acquisition, Technology & Logistics Agency (ATLA) claim that the Mogami frigate is faster, more stealthy, and is equipped with more modern sensors and radar than the MEKO, which would make it easier to operate alongside the vessels of Australia’s closest ally, the United States.

Australia intends to purchase the first three frigates as foreign-built vessels without specific modifications. However, it wants to construct the subsequent units locally in Henderson shipyard in Western Australia, likely with substantial modifications tailored to the RAN’s needs.

With an eye on the contract, estimated to cost between US$7 billion and US$11 billion over the next decade, ATLA has told the Australian government that it could readily transfer warship technology.

German Submarines For India! Will Navy’s ‘Cutting Edge’ Stealth Boats Float If ThyssenKrupp Sinks?

Additionally, some media reports claim that Japanese officials told their Australian counterparts that if the country selected its design, Tokyo would buy the Naval Strike Missiles manufactured locally in Australia. 

Frigates
MEKO A-200

However, several observers have noted that the German company TKMS has an advantage in this contest as the German MEKO A-200 frigate design is a modern version of the Anzac-class destroyers that RAN currently operates.

Moreover, it is reportedly less expensive than Japan’s initial offer. Also, the German vessel could easily accommodate requirements such as the CEA radar and the 9LV combat management system used by the RAN, ensuring easy and smooth integration.

Some analysts have also noted that while TKMS is a world leader in naval export, Japan’s Mitsubishi Heavy Industries (MHI) is not an established exporter when it comes to ships.

Though Japan has thrown its weight behind MHI’s pitch and has intensified its lobbying with a focus on strategic partnership and closer ties, German TKMS MEKO is still pretty much in the reckoning. The Australian government is expected to announce the final winner by the end of next year.

TKMS Is A Frontrunner In Indian Submarine Contest 

Germany’s TKMS, in partnership with India’s Mazagaon Dock Limited (MDL), is vying for India’s Project-75I, which calls for the construction of six diesel-electric submarines, against Spain’s Navantia which has partnered with India’s Larsen and Toubro (L&T).

The Indian Navy’s ambitious submarine project, estimated to cost over Rs 43,000 crores (US$5 billion), is targeting several major capabilities, such as land-attack capabilities, anti-ship warfare (AShW), anti-submarine warfare (ASw), anti-surface warfare (ASuW), intelligence, surveillance, and reconnaissance (ISR), special operations forces (SOF), and air-independent propulsion (AIP). The most important of these is the AIP. 

TKMS, which had initially declined to bid for Project-75I due to the RFP’s “terms and conditions,” entered the bid after the German government threw its weight behind the project.

TKMS has offered a new submarine based on its Type 214 that will be customized to meet the Indian Navy’s requirements and will be equipped with the latest AIP technology, Lithium-ion battery, and stellar stealth capabilities. Additionally, the TKMS submarine will feature an advanced sensor and combat system.

Submarines: Courtesy: tKMS

In contrast, Spanish firm Navantia has offered its latest S-80-class submarines, which were commissioned by the Spanish Navy just last year. Instead of using pure stored hydrogen, Navantia’s fuel cell-based AIP Bioethanol Stealth Technology (BEST) system uses hydrogen generated onboard from a fuel—Bioethanol, in this case.

This allows the submarine to carry more energy and stay underwater for up to three weeks while maintaining signatures that are comparable to battery-powered, pure electric navigation. 

The Indian Navy conducted field evaluation tests on both offerings earlier this year. After the tests, reports indicated that TKMS had secured a slight edge over its Spanish rival as it had an operational AIP, unlike the Navantia, which has yet to incorporate the technology into the S-80 submarine offered to the Indian Navy. 

In a previous interaction with EurAsian Times, Christian Frühling, the TKMS Program Head for Project-75I, expressed confidence in the technology.

Frühling said, “In this, our big advantage is our unique AIP solution. The submarine design is a derivative of the well-established HDW Class 214 submarine, which is currently in service with several navies worldwide. It will be tailored to the Indian Navy’s requirements and incorporate technological advancements. To summarise our Project-75I design: it is proven, it is advanced, and it is for India.”

TKMS is confident that it will win the contract because it is currently the only firm with fuel-cell-based AIP systems that have been demonstrated to work at sea.

Currently, South Korea, Greece, Portugal, and Turkey operate the 214-class submarine. Moreover, some analysts surmised that TKMS also derived its advantage from the fact that the Indian Navy operates the Shishumar class of submarines, the Indian variant of the German Type 209 submarine.

TKMS has ostensibly stated that the submarines would be manufactured in India, starting with the first boat if MDL wins the Project-75I contract. TKMS will provide the design and essential components. MDL will bid for the project, with TKMS serving as the international partner. The first submarine will be built around seven years from the date of the contract, with one each every year after that.

After initial optimism surrounding the TKMS offer, reports in October 2024 suggested that neither of the two submarines could fully satisfy Indian requirements. Although operational and proven, the TKMS AIP was reportedly found to be smaller than the one needed by the Indian Navy.

Though Navantia claims that the S-80 would be ideal for the Indian Navy, TKMS has gone full throttle to win the Project 75I contract.

Earlier this month, TKMS CEO Oliver Burkhard said that the German company would want to build submarines and other naval vessels in India for exports jointly with its partner — the state-owned Mazagon Dock Shipbuilders (MDL) — if the combine bags the contract for manufacturing six new diesel-electric submarines from the Indian Navy. This would, in turn, transform India into a global shipbuilding hub.