Germany is advancing its proposal to equip the Argentine Navy with TKMS Type 209NG submarines, competing with French Scorpène-class options. A Letter of Intent has been signed with Naval Group, though the final decision awaits completion of evaluations and financing discussions. State guarantees of $4.27 billion from Germany may influence the outcome while navigating fiscal policies within Argentina’s government.
Germany is intensifying its efforts to provide the Argentine Navy with TKMS Type 209NG submarines, as the Argentine government evaluates proposals for new attack submarines. Although the signing of a Letter of Intent for the Scorpène-class submarines from Naval Group has occurred in 2024, the selection process remains ongoing. Recent media reports reveal that Germany is progressing with approving state guarantees to facilitate TKMS’s proposal for its submarines.
Currently, there are two primary proposals under consideration for enhancing the Argentine Navy’s Submarine Force: the Scorpène-class submarines from Naval Group and the Type 209NG from TKMS. Both proposals involve the provision of three submarines, heavily supported by their respective governments. A pivotal achievement in 2023 was the confirmation of a Letter of Intent with Naval Group during Minister of Defense Luis Petri’s visit to France, setting the stage for future negotiations, although it is non-binding.
Financing is crucial for the decision-making process between the competing proposals, as reiterated by officials from the Ministry of Defense. The 2025 Budget Proposal has faced challenges that may result in an extension of the 2023 National Budget, which previously included provisions for securing $2.3 billion in loans for submarine procurement. Notably, the expected delivery dates for German submarines are set for 2034 and 2035, with anticipated approvals for the state guarantees by the German Budget Committee forthcoming.
Discussions have recently taken on a subdued tone as the Ministry of Defense and the Navy navigate through the complex approval process, which requires Executive Branch authorization and stringent review by the Ministry of Economy, which is committed to maintaining a strict zero-deficit fiscal policy.
The acquisition of advanced submarines represents a critical component of Argentina’s military modernization strategy, publicized through discussions of various foreign partnerships, including the notable interests of Germany in enhancing the capabilities of the Argentine Navy.
The article discusses Argentina’s ongoing efforts to modernize its Navy by acquiring new attack submarines, with a focus on the proposals from two leading manufacturers: France’s Naval Group and Germany’s ThyssenKrupp Marine Systems (TKMS). It highlights the significance of government support in military acquisitions, particularly in the financing aspect of the proposals, indicating the competitive nature of international defense deals amid fiscal constraints.
In summary, Argentina is in the process of finalizing the acquisition of new submarines to bolster its naval capabilities, with proposals from both TKMS and Naval Group under consideration. Germany’s commitment to supporting TKMS through significant state guarantees underscores the competitive international landscape in military procurement. As the financing and approval processes continue, the Argentine Navy’s future capabilities hinge on effective negotiations and governmental backing.
Original Source: www.zona-militar.com
