Dutch court endorses 5.6 billion euro submarine deal with France
The Hague: A Dutch court ruled in favour of the Dutch government’s decision to order four new submarines from France’s Naval Group, rejecting a lawsuit filed by a German contender.
“The (Dutch) State’s decision to award the construction of four submarines for the Ministry of Defence to (French shipbuilder) Naval Group can remain in place,” the District Court of The Hague said in its ruling, Xinhua news agency reported.
The Netherlands is set to replace and upgrade its current submarine fleet. The Ministry of Defense initiated a procurement process, inviting bids for the construction of four new submarines in a deal worth 5.6 billion euros (about $6.1 billion). After evaluating the proposals, the contract was awarded to France’s Naval Group.
ThyssenKrupp Marine Systems (TKMS), the German contender, was dissatisfied with the outcome and took the matter to court. However, the court deemed TKMS’s objections invalid, ruling that the government had not unfairly dismissed the German company’s bid.
According to Dutch media reports, some members of the Dutch House of Representatives have expressed dissatisfaction with the decision to purchase submarines from a foreign supplier. Parties such as the Party for Freedom (PVV) and the Farmer-Citizen Movement (BBB) advocate for a larger role for the Dutch shipbuilding industry in the country’s defence projects. (1 euro = $1.09).