Germany awards €800 million submarine modernization contract to TKMS
In a significant move to maintain its technological edge beneath the waves, the German Navy has awarded a major €800 million contract to ThyssenKrupp Marine Systems (TKMS) for the comprehensive modernization of six Type 212A submarines.
The deal, officially signed today in Koblenz with the Federal Office of Bundeswehr Equipment, Information Technology and In-Service Support (BAAINBw), marks one of the largest service contracts in TKMS’s history and will run over a ten-year period.
As the prime contractor, TKMS will overhaul critical onboard systems, focusing particularly on modernizing the navigation, command, and weapons control systems aboard the submarines. Four of the vessels slated for upgrade are from the first production batch and stand to benefit from significant technological enhancements aimed at securing the fleet’s superiority in both national defense and NATO alliance operations.
“This important service contract also strengthens our established and trusting cooperation with the German Navy in the area of maintenance,” said Oliver Burkhard, CEO of TKMS. “As a maritime powerhouse, we will utilize the full range of services offered by TKMS and contribute to the high operational availability and performance of the German submarine fleet with our many years of expertise.”
TKMS has long been a cornerstone of Germany’s naval industrial base, providing a broad range of services from maintenance and repairs to modernization programs and specialized material logistics. The company not only leads in submarine construction but also serves as a vital link for Germany’s extensive network of small and medium-sized suppliers, contributing significantly to the nation’s industrial value chain.
Globally recognized as one of the foremost builders of conventional submarines, TKMS continues to expand its footprint in the underwater domain. Its current backlog includes orders for four additional Type 212CD submarines for Germany and two 218SG submarines for Singapore. As of May 2025, TKMS reported a record order backlog of €18 billion, securing production activity and employment well into the 2040s.
This latest modernization contract further reinforces TKMS’s robust market position and underscores Germany’s commitment to maintaining cutting-edge capabilities in its naval forces as geopolitical tensions continue to evolve across Europe and beyond.
