Hanwha Ocean has failed to secure Canada's next-generation submarine procurement project.

Canadian Prime Minister Mark Carney announced moments ago that Germany's ThyssenKrupp Marine Systems (TKMS) has been selected as the preferred bidder for the project.

However, he added that if negotiations with the German company fall through, the government could enter into talks with the next runner-up, Hanwha Ocean.

The project is estimated to be worth up to 60 trillion won, covering the construction of 12 submarines as well as their maintenance, repair, and operation costs over 30 years.