France wins $50bn contract for a new Australian fleet of submarines

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1904

The Prime Minister Malcolm Turnbull this morning named France as the winner of the $50 billion submarine bid, pipping Germany and Japan to build the next generation of submarines for the Royal Australian Navy, reported theaustralian.com.au.

The French shipbuilding giant DCNS has sold smaller submarines to India, Malaysia, Chile and Brazil, but its chairman and CEO said that only Australia is being offered advanced sonar and stealth technology similar to systems on French nuclear missile submarines.

DCNS is a state-controlled company that is one of Europe’s largest defense firms, building submarines, destroyers and aircraft carriers.

The Japanese government wants Australia to explain why it decided not to pick a Japanese design for a new fleet of submarines, choosing instead a proposal from France’s DCNS.

“The decision was deeply regrettable,” said Japan Defence Minister Gen Nakatani. “We will ask Australia to explain why they didn’t pick our design.”

Australian officials informed Japan of its choice on Monday, explaining that the French design best fitted its unique needs, Nakatani said.

The Prime Minister Malcolm Turnbull this morning named France as the winner of the $50 billion submarine bid, pipping Germany and Japan to build the next generation of submarines for the Royal Australian Navy.

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