Thai gov't approves purchase of USD 393M submarine from China

Thailand's government has approved the purchase of its first submarine in more than half a century, the country's top defence official said today, calling the USD 393 million deal with China necessary and a bargain.
Defence Minister Prawit Wongsuwan said the navy's purchase of a Yuan Class S26T submarine would be conducted transparently, responding to concerns about corruption. He said the vessel would be delivered in five to six years.
Thailand's navy has been seeking to buy submarines for almost a decade, having decommissioned its last one in 1951.
The military government had said it also considered buying the vessels from Germany or South Korea, but last year announced plans to buy three from China at a total price of around USD 1 billion.

The purchase won the final go-ahead only after Thailand's military seized power in a May 2014 coup, even though a USD 15 million submarine base and training center was inaugurated shortly afterward, in July 2014.
The purchase of such a major weapons system from China has political as well as defense ramifications because the ruling junta has sought closer relations with China to balance traditional ties with the United States, which has been critical of Thailand's turn away from democracy.

It will take about 11 years for all three submarines to be acquired, said Prawit, who is also deputy prime minister.

It was not clear, however, whether agreements have been finalised for the purchase of the second and third submarines.
Government spokesman Sansern Kaewkumnerd yesterday said details of further purchases were the navy's business and would not be publicly announced as they involve security matters.
Sansern said there was nothing shady about the deal, which drew attention because it was approved at the previous week's Cabinet meeting without being announced.
"The submarine we are buying is not expensive and it will be very useful in the Andaman Sea in a 200-mile radius area that we've never explored," Prawit said.
Prime Minister Prayuth Chan-ocha said last month that China had offered the cheapest deal, amounting to a "buy-two, get-three" bargain.