Norway responds to security situation

Norway wants to procure two more submarines and thus expand its fleet to six units. In view of the tense security situation, the government sees this as a key investment in the country's defence capabilities. For Norway as a coastal and maritime nation, submarines are of central importance for the country's defence, said Defence Minister Tore O. Sandvik in a statement on Friday evening. The activity of Russian forces in the North Atlantic and the Barents Sea had increased. As NATO's "eyes and ears in the north", the demands on the ability to show presence, monitor and deter in neighbouring areas were increasing. In this context, submarines are indispensable.

Contract with TKMS

Norway has already signed a contract with TKMS for the construction of four submarines. Two of the Norwegian submarines are already under construction in Germany and the first unit is due to be handed over to the navy in 2029. In a new bill for parliament (Storting), the government is now proposing to extend the submarine project by a further two units. In doing so, it is implementing the Storting's unanimous decision on long-term planning for the defence sector, according to which Norway is to procure a total of six new submarines.

The Chief of Defence has made a clear recommendation to procure six submarines. With six units, the defence could deploy several boats simultaneously at different locations. According to Sandvik, this would have a strong deterrent effect against a potential adversary and at the same time strengthen NATO's overall ability to ensure control and defence in the North Atlantic and northern regions.

Cost-intensive investment

In order to expand the project by two more submarines, the government is proposing to increase the budget by 46 billion Norwegian kroner (around 3.96 billion euros) including VAT, risk provisioning and implementation costs. The unit price of the submarines, including the associated weapon systems, has risen as critical raw materials and defence equipment have become more expensive - compared to 2021, when the contract for the first four submarines was signed.

According to the Ministry of Defence, Norway is also helping to finance a second production line in Germany, which is necessary to build the new submarines quickly enough. The need for weapon systems and upgrades for all six submarines is also driving up costs. Finally, the total cost of the project is rising because the expenditure for the procurement of the first four submarines has to be significantly adjusted upwards due to current exchange rates. "We are in an extremely serious security situation. Norway and our allies must strengthen their defence capabilities, while at the same time the price of defence equipment is rising. The government believes that it is right to prioritise two more submarines now. It is an expensive but important investment in Norway's security in a troubled time," Sandvik comments on the extension of the submarine order. Parliament must now decide on the government's recommendation. The Ministry of Defence then intends to sign the contract for the two new submarines before the bid deadline expires, Sandvik said.

Norway and Germany - two close allies

According to the Ministry of Defence, Germany is one of Norway's most important partners, a close ally and a country with which it shares many common interests. The German-Norwegian defence cooperation underlines the importance of long-term strategic relationships to counter an unpredictable security environment. The strategic partnership pools the resources of two close allies to tackle common security challenges. Joint investments and projects in the areas of submarine technology, battle tanks and air defence provide both countries with better operational capabilities, the ministry said.

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