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Swedish Bid for Australian Future Submarine Selection

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Artist's conception of a Swedish A26 submarine operating in littoral waters while deploying special forces divers. Graphic courtesy of Saab site .
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Sweden's early December 2014 claims might be summarised as:

Sweden is designing the A26 which will be around 2,000 ton surfaced. Australia’s government indicated it has received an unsolicited bid from Saab for an enlarged design. Sweden's claims that this includes a lower price than its competitors. Sweden would facilitate the smooth flow of Japanese submarine [Stirling air independent propulsion (AIP)] technology from the Soryu Class sub. Sweden also promises substantial technology transfer and industrial offsets for Australia, including jobs in Adelaide during the build phase.

See more here: http://www.defenseindustrydaily.com/saab-story-swedens-new-submarines-024760/
Sweden wasn’t part of the Australian government’s initial submarine evaluations, because Kockums was barred from export activities by its then corporate parent TKMS. This also prevented Sweden from bidding for Singapore's 2013 two SSK selection - subsequently won by Germany's HDW [as the 218SG proposal]. Saab Kockums is also offering to take ASC and Australian Navy engineers and technicians to work on its new A26 design in Sweden.
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PETE'S COMMENTS

The current A26 design or an enlarged Australian version might be competitive with the German Type 214 or enlarged Type 216 respectively. Sweden's Saab and its subsidiary Kockums need to develop the A26 rapidly not only to be competitive in submarine sales but to face the resurgent Russian threat.

France (offering the existing Scorpene and overweight 4,700 ton (surfaced) "conventional version" of the Barracuda SSN) has been distrusted by Anglo counties in the long term and in the short term due to the proposed sale of Mistral amphibious assault ships to Russia.

Sweden overall has national knowledge (including FMV and Kockums) of submarine building but Sweden hasn't built submarines (the Gotlands) since 1996 or arguably Collins since 2001. Kockums under German control heavily modified two ex-Västergötland class subs - relaunching them in 2009 and 2010 for Singapore as two AIP equipped Archer class subs.

On lowest price claims - price is very elastic - more an artform of itemisation than an accounting science.

Given the Soryu is less than 3,000 tons surfaced Australia is probably not wedded to 4,000 ton surfaced designs anymore.

Japan may be extricating itself from Swedish intellectual property issues by leaving Stirling AIPs out of the Soryu Mark 2s.

Technology transfer and training are strengths with the European contenders - something probably difficult for Japan.

Some offsets are probably a necessary political and technical benefit or burden for the Australian Government vis a vis South Australia and unions.

Pete

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