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Naval Group Accuses TKMS of Risky Tech Transfers, Cites Rising Competition

Under Section 107 of the Copyright Act 1976, allowance is made for "fair use" for purposes such as criticism, comment, news reporting, teaching, scholarship, and research. Fair use is a use permitted by copyright statutes that might otherwise be infringing. Non-profit, educational, or personal use tips the balance in favor of fair use. France's Naval Group has strongly criticized Germany's ThyssenKrupp Marine Systems (TKMS) for its extensive transfer of submarine technology to emerging naval powers like Turkey and South Korea. The French defense firm argues that such liberal technology-sharing practices are fueling new competitors in the global submarine market. During a recent roundtable discussion in Paris, Guillaume Rochard, Naval Group’s Head of Strategy, accused TKMS of being “masters at creating future rivals” by openly sharing sensitive maritime technology. He highlighted that, unlike TKMS, Naval Group follows a more restrained approach to ensure its expertise does not empower potential market challengers. Naval Group's main concern centers around TKMS's involvement in India’s Project 75(I), a multi-billion-dollar initiative by India’s Ministry of Defence (MoD) that requires the transfer of submarine design blueprints and advanced technologies. Citing TKMS's previous collaborations with Turkey and South Korea, Naval Group fears that a similar partnership in India could eventually elevate the nation to the status of a global submarine exporter. The examples of Turkey and South Korea reinforce Naval Group's apprehensions. TKMS previously supplied Turkey with six submarines equipped with air-independent propulsion (AIP) systems. This partnership not only boosted Turkey’s naval capabilities but also facilitated the development of its first indigenous submarine. Likewise, TKMS's collaboration with South Korea enabled Hyundai Heavy Industries and Hanwha Ocean to manufacture Type 214 submarines, positioning South Korea as a significant player in the global submarine industry. In response to the allegations, TKMS defended its practices, emphasizing that all technology transfers are conducted under strict regulatory frameworks and intellectual property protections. The company maintains that its partnerships are designed to strengthen national defense rather than create commercial adversaries. India’s past dealings with TKMS add further complexity to the situation. In the 1980s, India entered a similar technology transfer deal with TKMS’s then-subsidiary HDW. However, the partnership collapsed following a bribery scandal in 1987, leading to HDW’s blacklisting and the incomplete realization of the technology transfer. Beyond commercial competition, Naval Group's concerns reflect broader geopolitical implications. With Turkey and South Korea now independently exporting submarines, traditional European and American dominance in the market faces growing challenges. For India, the decision regarding Project 75(I) will not only shape its naval capabilities but also determine its position in the global defense industry for decades to come.