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Thailand may cancel the contract for the supply of Chinese S26T class NAPS

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Image source: militaryparitet.com

TSAMTO, December 2. According to information published by The Diplomat resource, the Thai government is considering the possibility of refusing to implement a contract with China for the construction of an S26T-class submarine if the terms of the agreement are not met.

According to the English-language newspaper The Bangkok Post, the commander-in-chief of the Thai Navy, Admiral Chongchai Chomchengpaet, said last week that Thailand is ready to withdraw from the project for the purchase of submarines in China if the proposed terms of purchase do not suit him.

As reported by TSAMTO, in June 2015, following consideration of the proposal of shipbuilding companies from China, Russia, Germany, the Republic of Korea and Sweden, the Thai Navy decided to acquire the proposed Chinese Shipbuilding Industry Corporation CSIC (China Shipbuilding Industry Corporation) S26T class NAPL, which is a modified export version of the Yuan class NAPL ("Type-041"). The project was frozen for some time due to the wave of criticism that arose in the country and resumed in 2016, when the government approved a fundamental plan for the purchase of three submarines built in China with a total cost of 36 billion. baht.

The contract is worth 13.5 billion. The command of the Thai Navy signed baht for the supply of the first NPL of the S26T project with the Chinese Shipbuilding and Marine Engineering Corporation CSOC (China Shipbuilding & Offshore International Corporation) on May 4, 2017.

Cutting of the first steel for the construction of the submarine began in China in September 2018, the keel laying ceremony took place at Wuchang Shipbuilding in Wuhan on September 5, 2019. The construction was expected to be completed in mid-2023. Nevertheless, at the beginning of 2022, problems arose with the construction of the NPL due to the refusal of the German company Motor & Turbine Union to supply MTU396 engines in connection with the embargo imposed by the European Union on the sale of military equipment to China.

In response, CSOS offered to install a new Chinese-made CHD620 engine on the submarine. At first, the Thai government refused the offer, insisting on installing German engines in accordance with the terms of the contract, or its termination. Nevertheless, probably realizing that the cancellation of the purchase could negatively affect relations with China in other areas, the Thai government softened its demands.

According to Admiral Chongchai Chomchengpaet, now the Thai Navy wants to receive guarantees of uninterrupted operation and support of the CHD620 engine from the PLA Navy Command. The evaluation of the power plant began in September. At the moment, the engine testing stage has been completed (probably successfully). Now the parties are discussing the issue of the supply of spare parts. The delegations of the two countries are due to meet in early December to agree on the final conditions and deadlines for the construction of the submarine. If no agreement is reached, the Thai authorities still reserve the right to cancel the contract. Nevertheless, most experts are inclined to believe that the parties will reach a compromise, taking into account the close ties and the terms of sale proposed by China. It is assumed that in connection with the replacement of the power plant, the delivery dates of the head NPL can be postponed to 2024.

The Thai Navy planned to conclude a contract for the supply of two additional S26TS around 2020, but it has not yet been signed: initially due to COVID-19, and later due to the difficult economic situation in the country and technical issues that have arisen.

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