Shephard: "Partnerships will be critical for future projects at Latin American shipyards"

  

 

"Partnerships will be critical for future projects at Latin American shipyards"

Wilder Alejandro Sanchez

Naval Warfare

Shephard

21 May, 2026

Published: https://www.shephardmedia.com/news/naval-warfare/latin-american-shipyards-partnerships-will-be-critical-for-future-projects/ 

 Multiple Latin American navies are modernising their fleets by prioritising domestically manufactured surface vessels and even submarines via international partnerships.

Presentation: "Las Operaciones de las Armadas de América Latina y el Caribe contra la Pesca Ilegal: El Futuro de las Flotas"

 

 

"Las Operaciones de las Armadas de América Latina y el Caribe contra la Pesca Ilegal: El Futuro de las Flotas"

Wilder Alejandro Sanchez

CONFERENCIA DE PROTECCIÓN AL MEDIO AMBIENTE

Junta Interamericana de Defensa
Washington, DC

17 de Septiembre del 2025 

Youtube: https://www.youtube.com/watch?v=Q0-HF5SXtps 

CIMSEC: "The Uruguayan Navy: Preparing for the 21st century"

 

"The Uruguayan Navy: Preparing for the 21st century"

Wilder Alejandro Sanchez

The Southern Tide

Center for International Maritime Security

30 October, 2023

Originally published: https://cimsec.org/the-uruguayan-navy-preparing-for-the-21st-century/

Written by Wilder Alejandro Sanchez, The Southern Tide addresses maritime security issues throughout Latin America and the Caribbean. It discusses the challenges regional navies face including limited defense budgets, inter-state tensions, and transnational crimes. It also examines how these challenges influence current and future defense strategies, platform acquisitions, and relations with global powers.

“Whether [working] against COVID, transnational criminal organizations, the predatory actions of China, the malign influence of Russia, or natural disasters, there’s nothing we cannot overcome or achieve through an integrated response with our interagency allies and partners.” – General Laura J. Richardson, Commander, U.S. Southern Command

In a speech to commemorate the service’s sea day (Día de la Fuerza de Mar) on August 21, Uruguayan Navy Captain Daniel Di Bono stated, “Starting today, it is time to start writing another page of this story. Ours, [the story] of the older ones, those of the Frigates, the Minesweepers, the [marine research vessel] Vanguardia, is already coming to an end. The period of modern, agile, and flexible ocean patrol vessels, coastal patrol vessels, and scientific vessels is approaching.”

Navies constantly evolve due to new challenges, objectives, visions, and realities. However, analysts rarely witness a sharp evolution of a Navy and its fleet. The Uruguayan Navy is undergoing that process, and as a reliable U.S. ally, Washington needs to understand what is going on and why.

 

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Breaking Defense: "Peruvian Navy sails forward with local shipyard SIMA"

 

"Peruvian Navy sails forward with local shipyard SIMA"

Wilder Alejandro Sanchez

Naval Warfare / Global

Breaking Defense

28 July, 2023

Originally published: https://breakingdefense.com/2023/07/peruvian-navy-sails-forward-with-local-shipyard-sima/

The construction of a second LPD highlights how SIMA, like several other South American shipyards, can now build more complex vessels, reducing the MGP’s reliance on international suppliers. 

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Shephard Media: "Uruguay looks to Spain for new OPVs"

 

"Uruguay looks to Spain for new OPVs"

Wilder Alejandro Sanchez

Naval Warfare

Shephard Media

20 July, 2023

Originally published: https://www.shephardmedia.com/news/naval-warfare/uruguay-looks-to-spain-for-new-opvs/

The Uruguayan Navy may finally receive two new offshore patrol vessels to revamp its ageing surface fleet.

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Shephard Media: Colombia's COTECMAR commences construction of new OPV

 

"Colombia's COTECMAR commences construction of new OPV"

Wilder Alejandro Sanchez

Naval Warfare

Shephard Media

10 May, 2023

Originally published: https://www.shephardmedia.com/news/naval-warfare/colombias-cotecmar-commences-construction-of-new-opv/

The Colombian shipbuilding corporation COTECMAR has started the construction of an OPV as the first platform as part of an order for three new ships.

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Shephard Media: Argentina receives final Gowind OPV

"Argentina receives final Gowind OPV"

Wilder Alejandro Sanchez

Naval Warfare

Shephard Media

22 April, 2022

Originally published: https://www.shephardmedia.com/news/naval-warfare/argentina-receives-final-gowind-opv/

ARA Contralmirante Bartolomé Cordero will make its delivery voyage to Argentina in May 2022.

The Argentine Navy has received its fourth and final Gowind-class offshore patrol vessel (OPV) manufactured by the French shipyard Naval Group.

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Shephard Media: "FONDEF proves its worth as Argentina updates land and naval inventories"

 

"FONDEF proves its worth as Argentina updates land and naval inventories"

Wilder Alejandro Sanchez

Defence Notes

Shephard Media

8 April, 2022

Originally published: https://www.shephardmedia.com/news/defence-notes/fondef-proves-its-worth-as-argentina-updates-land

The Argentine Army recently received new vehicles, weapons and UAVs while the fourth OPV for the Argentine Navy is due to be commissioned in mid-April.

The Argentine Army is modernising its inventory with the recent arrival of new vehicles, weapons and UAVs, while the Argentine Navy is on track to receive its fourth and final new offshore patrol vessel (OPV) on 13 April.

On 22 March, the Argentine Army received a fleet of 88 vehicles, including 17 Volkswagen Robust 6t trucks, ten Volkswagen Constellation 19.420 trucks and one Volkswagen water truck.

 

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Shephard Media: South American shipyards maintain their tempo

 

"South American shipyards maintain their tempo"
Wilder Alejandro Sanchez and Tim Fish
Naval Warfare
Shephard Media

9 March, 2022

Originally published: https://www.shephardmedia.com/news/naval-warfare/construction-starts-on-chiles-amphibious-transport/

Shipyards in Argentina, Brazil and Chile are constructing vessels for their respective fleets, including ships for polar operations.

 

The 27 February announcement from Chilean shipyard ASMAR that it has cut first steel on a new amphibious vessel for the Chilean Navy came at a time of strong activity for South American naval shipbuilding.

Argentine state-run shipyard Tandanor is preparing to build a new polar vessel with Finnish assistance, while efforts continue in neighbouring Brazil on an indigenously constructed vessel for Antarctic operations.

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CIMSEC: Argentina Deploys New Patrol Vessels to Combat IUU Fishing

 

"Argentina Deploys New Patrol Vessels to Combat IUU Fishing"

Wilder Alejandro Sanchez

The Southern Tide

Center for International Maritime Security

2 February, 2022

Originally published: https://cimsec.org/argentina-deploys-new-patrol-vessels-to-combat-iuu-fishing/

The Argentine Navy has deployed its two newest offshore patrol vessels (OPVs), ARA Bouchard (P-51) and ARA Piedrabuena (P-52), to monitor an international fishing fleet traveling close to the country’s exclusive economic zone (EEZ) en route to the South Atlantic. While there have been no confirmed reports of these vessels engaging in illegal, unregulated, or unreported (IUU) fishing, recent history suggests that this is occurring or will occur soon.

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Shephard Media: Argentina seeks helicopters and receives new OPV with Antarctic ops in mind

 

"Argentina seeks helicopters and receives new OPV with Antarctic ops in mind"

Wilder Alejandro Sanchez

Defence Notes

Shephard Media

23 April, 2021

Originally published: https://www.shephardmedia.com/news/defence-notes/premium-argentina-seeks-helicopters-and-receives-n/

A tender will open next month as the Argentine Navy seeks to buy two second-hand helicopters to enhance its Antarctic capabilities — but financial constraints remain.

The Argentine Navy is taking steps to enhance its capabilities to operate in Antarctica by procuring two second-hand Sea King helicopters. It also recently received a new offshore patrol vessel (OPV) built by French shipyard Naval Group. 

The two Sikorsky Sea King SH-3 helicopters will be delivered to the ...

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Shephard Media: PREMIUM: Lingering economic problems constrain Argentine ambitions

 

"PREMIUM: Lingering economic problems constrain Argentine ambitions"

Wilder Alejandro Sanchez

Defence Notes

Shephard Media

Originally published: https://www.shephardmedia.com/news/defence-notes/premium-lingering-economic-problems-constrain-arge/

The latest defence procurement plan for 2021-2023 includes only limited new programmes for the Argentine armed forces.

Official data shows the ratio of debt to GDP in Argentina exceeded 100% in 2020 as economic activity slumped by 10%, due partly to the COVID-19 pandemic but also because of structural problems dating back decades.

Against this backdrop, the government only included modest new acquisitions for the armed forces ...

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CIMSEC: The UNCLCS Ruling and the Future of the Uruguayan Navy

"The UNCLCS Ruling and the Future of the Uruguayan Navy"
W. Alejandro Sanchez
October 12, 2016
The Southern Tide
Center for International Maritime Security
Originally published: http://cimsec.org/unclcs-ruling-future-uruguayan-navy/28738

The Southern Tide

Written by Wilder Alejandro Sanchez, The Southern Tide addresses maritime security issues throughout Latin America and the Caribbean. It discusses the challenges regional navies face including limited defense budgets, inter-state tensions, and transnational crimes. It also examines how these challenges influence current and future defense strategies, platform acquisitions, and relations with global powers.

“The security environment in Latin America and the Caribbean is characterized by complex, diverse, and non-traditional challenges to U.S. interests.” Admiral Kurt W. Tidd, Commander, U.S. Southern Command, before the 114th Congress Senate Armed Services Committee, 10 March 2016.

By W. Alejandro Sanchez

Uruguay’s continental shelf control has been extended to 350 nautical miles. On 30 August, the United Nations Commission on the Limits of the Continental Shelf (UNCLCS) ruled in favor of the South American nation’s request to extend its maritime territory by83,000 square kilometers. While this is a major diplomatic victory for the Uruguayan government, the new territory will need to be properly patrolled, which means additional pressure on theUruguayan Navy that currently operates with an aging fleet.

The author of this commentary argues that Uruguay’s new maritime territory should be a starting point for a greater discussion about the future of its Navy, both in terms of its future fleet composition and missions.  

A Brief History

It is important to stress that the Uruguayan military has not been in an inter-state conflict in over a century. Its last major confrontation was the War of the Triple Alliance (1864-1870). In the 20th century, Uruguay supported the Allies in World War II (the 1939 Admiral Graf Spee incident occurred in Uruguayan waters). The only other major challenge to Uruguayan sovereignty occurred in the late 1960s to early 1970s when Uruguayan security forces battled the Tupamaros, a local insurgent movement.

In the 21st century, Uruguay has only had one small international incident. Between 2005-2010, the Uruguayan and Argentine governments had a diplomatic and legal dispute regarding the construction of a pulp mill in the Uruguay River, which serves as a border between the two states. Even though no conflict ever occurred, former Uruguayan President José Mujica famously declared in 2011 that he had contemplated the possibility of a war with Argentina over the pulp mill and had met with his military’s commanders about possible scenarios.

The Navy’s Current Platforms

Nowadays the Uruguayan military, and the Navy in particular, is in a dire state given limited budgets which prevent the acquisition of new heavy platforms.

In August, Admiral Leonardo Alonso, commander of the Uruguayan Navy, declared that the fleet has 12 operational sea platforms. The fleet composition includes a Joao Belo-class frigate, the ROU Uruguay; two Kondor II-class minesweepers, the ROUTemerario and the ROU Audaz (the ROU Fortuna was retired in 2014); the oceanic patrol vessel ROU Maldonado the support vessels ROU General Artigas and ROU Vanguardia. Additional vessels include the tugboat ROU Banco Ortiz; the oceanographic ship ROU Oyarvide; the ROU Sirius; and the patrol boats ROUColonia, ROU Rio Negro, and the ROU Paysandu. According toUruguayan media, the average age of the fleet is 50 years (e.g. the Joao Belo frigate was constructed in the late 1960s).

A strongly worded op-ed in the daily El Observador op-edpublished on 20 August, provocatively titled “Who Needs the Armed Forces?” stresses how the Navy is “bankrupt, not only because of its aging fleet, its lackluster training and small budget, but due to corruption scandals in recent years that have affected the morale.”

For the past couple of years, the Uruguayan military has attempted to purchase modern offshore patrol vessels (OPVs), which will be the cornerstone of the future fleet. The Navy has apparently selected Lurssen’s OPV 80 model and reportedly plans to procure three platforms in a deal which will cost an estimated USD $250 million. To date, no contract has been signed yet as the government appears to lack sufficient funds to purchase the vessels. 

The Uruguayan Navy has been lobbying the government for new funds and the approval of the OPV-deals in order to properly monitor the country’s growing sea. Admiral Leonardo Alonso has declared to the Senate that on any given day the Navy detects around 350 ships in Uruguayan waters “but we only see the ones that wish to be detected, which have their equipment on and are identified by our sensors,” which means that the country is vulnerable to “piracy, maritime accidents, pollution, drug trafficking, smuggling, and illegal fishing.” In an e-mail interview with the author, an Uruguayan naval officer explained that “in Uruguayan waters there is an average of 200 vessels (cruising or anchored) carrying out different tasks. This volume means that without proper control of maritime traffic, the probability of accidents and incidents escalates.” The officer also highlighted the necessity of a coastal surveillance network for Vessel Traffic Services (VTS) to aid the activities of the (yet to be acquired) OPVs and their support helicopters.

While this analysis is focusing on the Uruguayan Navy’s platforms and equipment, it is necessary to briefly mention personnel woes. The Uruguayan officer explained to the author that it is also vitally important “to retain our personnel and prevent a migration to the private sector as they seek salary improvements.” The problem of preventing qualified military personnel from migrating to better paid (and less dangerous) positions in the private sector is an issue that affects many militaries across the world.

The UNCLCS Ruling

It is in this problematic situation that the UNCLCS’s ruling enters the equation. Montevideo first requested the UNCLCS to expand its continental shelf beyond 200 nautical miles in 2009. “Uruguay has a special interest in expanding its continental shelf rights since it is currently involved in the search for oil and gas in the so called Punta del Este basin,” explained a September 2009 report byMercoPress.

According to Uruguayan media, a Uruguayan delegation met with a UNCLCS commission 21 times to argue its case between 2011 and 2015. The aforementioned naval officer also highlighted the role of the oceanographic vessel Oyarvide and the Navy’s Oceanographic, Hydrographic, and Meteorological Service in contributing to the case made to the UNCLCS.

In 2016, Uruguay presented its case to the plenary of the UNCLCS and the Commission decided in favor of Montevideo’s request to expand its continental shelf to a total of 350 nautical miles on 30 August. According to IHS Jane’s Defense Weekly, “the new territory grants mineral and resource rights over the continental shelf (sea floor) but it does not grant fishing rights over the new area.” Meanwhile, the Uruguayan daily El Observador explains that the country now has more maritime territory than dry land.

The UNCLCS’s decision has been a massive victory for the administration of President Tabaré Vázquez. In fact, the Uruguayan Minister of Foreign Affairs, Rodolfo Nin Novoa, has declared “nobody can do anything [in these waters] without Uruguay’s authorization.” The minister’s statement was perhaps too bold as the aforementioned Admiral Alonso has highlighted the problematic situation of the Navy while Defense Minister Jorge Menendez has stressed the need for USD $250 million to upgrade the fleet (namely to acquire the OPVs).

One Possible Way Forward

The expansion of Uruguay’s continental shelf should serve as a starting point for a discussion about the future of its Navy. Given the lack of an external security threat (the author has discussed South Atlantic geopolitics in a 17 February commentary for CIMSEC, “How Peaceful is the South Atlantic?”), particularly as the pulp mill diferendum with Argentina appears to have been solved, the Uruguayan armed forces have had to reinvent themselves in recent decades to justify their existence. Case in point, the country is a major supplier of peacekeepers to the United Nations – as of 31 August, Uruguay has a contingent of 1,457 troops participating in UN peacekeeping missions.

Regarding the Navy, its current and future challenges are transnational and irregular in nature. Rather than worrying about the Brazilian nuclear or Scorpene submarines appearing on its coast, the major maritime security threats include drug trafficking, illegal fishing, maritime pollution, as well as search and rescue operations.

Illegal fishing is a major problem for governments around the world, and the South Atlantic already has the precedent of the March incident between the Argentine Coast Guard and an illegal Chinese fishing fleet that highlights the need for a well-equipped and modern fleet that can chase and detain (or sink, if violence is necessary) illegal fishing vessels. To this point, the Uruguayan dailyEl Pais has noted that the country’s waters have fish species like merluza (a cod-like fish), the pescadilla (whiting) and the corvina, which must be protected from illegal fishing.

Another task for the Navy’s future will be to protect future oil platforms that may be constructed in Uruguay’s maritime waters. As a matter of fact, France’s Total company (with U.S. ExxonMobil and Norway’s Statoil as partners) has been looking for oil in Uruguayan and South Atlantic waters, though unsuccessfully so far. The South Atlantic does not have a piracy problem in the sense of oil platforms being at risk of criminal attack. However, if aDeepwater Horizon-type accident were to occur in one of these new wells, the Navy must have capable vessels able to rescue workers in peril and contain potential oil spills and other destruction. It is worth noting that just in late September the aforementioned Audazand Artigas had to assist the Fortune Harmony, a tanker that had a fire aboard while 20 miles off Piriapolis, Uruguay.

For these operations, the Navy requires new sea platforms, namely OPVs, to support and eventually replace the antiquated vessels it currently operates,  as well as a coastal monitoring network. While this author is not qualified to properly discuss the training of Uruguayan naval officers as well as the budgetary issues, the problem of preventing well-trained personnel from migrating to the private sector affects the Uruguayan Navy like in other defense forces across the world.

Final Thoughts

Proper surveillance of the extended continental shelf is a critical task for the Uruguayan Navy and will be the cornerstone of its maritime strategy going forward. Incidents like the March clash between Argentina and illegal Chinese fishing vessels (illegal fishing), or the recent Fortune Harmony incident (disasters at sea and possible pollution) are reminders of why it is a priority for a nation with a large continental shelf to have a modern fleet capable of adapting to different scenarios.

With that said, Uruguay’s history and current South Atlantic geopolitics argue that the possibility of inter-state warfare is minimal. Hence, Uruguay must upgrade its Navy, not just in terms of new platforms, radars and helicopters, but also its mission in the 21st century.

Alejandro Sanchez Nieto is a researcher who focuses on geopolitical, military, and cyber security issues in the Western Hemisphere. Follow him on Twitter: @W_Alex_Sanchez.

The views presented in this essay are the sole responsibility of the author and do not necessarily reflect those of any institutions with which the author is associated.

CIMSEC: The Rise of the Latin American Shipyard

"The Rise of the Latin American Shipyard"
W. Alejandro Sanchez
The Southern Tide
Center for International Maritime Security
August 22, 2016
Originally published: http://cimsec.org/rise-latin-american-shipyard/27386

Written by Wilder Alejandro Sanchez, The Southern Tide addresses maritime security issues throughout Latin America and the Caribbean. It discusses the challenges regional navies face including limited defense budgets, inter-state tensions, and transnational crimes. It also examines how these challenges influence current and future defense strategies, platform acquisitions, and relations with global powers.

“The security environment in Latin America and the Caribbean is characterized by complex, diverse, and non-traditional challenges to U.S. interests.” Admiral Kurt W. Tidd, Commander, U.S. Southern Command, before the 114thCongress Senate Armed Services Committee, 10 March 2016.

By W. Alejandro Sanchez

Introduction

In recent months various Latin American navies have either received or deployed new platforms. For example, Chile and Mexico have launched new Oceanic Patrol Vessels (OPVs) while Colombia has launched two amphibious landing vessels and two speedboats. In late July, Peru’s brand-new training vessel, the Union, left port for its first voyage.

While these acquisitions and deployments appear standard, there is one important detail that links them together: all these platforms were produced by Latin American shipyards.

The global shipbuilding industry is about to get more crowded as Latin America shipyards are making their presence felt. Their platforms are not solely produced for local navies, as exporting them is now an objective.

Current Projects

The most ambitious domestic naval project is found in Brazil. With assistance from the French company DCNS, the Brazilian Navy is constructing four Scorpene-class diesel-electric submarines, as well as a nuclear-powered submarine, a dream of the Brazilian Navy for decades. Just this past July, the fourth section of the Humaitá was delivered to Itaguaí Construções Navais (ICN).  According to the Brazilian news agency Defesa Aerea & Naval the first submarine, the Riachuelo, will be launched in 2018 and delivered in 2020 while the Humaitá will be launched in 2020 and delivered in 2021.

Apart from the submarines themselves, Brazil is also constructing a submarine-building facility in Itaguaí, near Rio de Janeiro. These projects constitute the massive program known as Programa de Desenvolvimiento de Submarinos or Program Development for Submarines (PROSUB).

Other countries are manufacturing naval platforms, though not submarines. Specifically, regional shipyards are constructing OPVs, multipurpose vessels, and even training vessels. Case in point, in late July, the Colombian shipyard Corporación de Ciencia y Tecnología para el Desarrollo de la Industria Naval Marítima y Fluvial (COTECMAR) delivered two new amphibious landing vessels, the Golfo de Morrosquillo andBahía Málaga to the Colombian Navy, as well as two river patrol boats. COTECMAR has already delivered two similar ships (the Golfo de Tribuga and the Golfo de Uraba) to the Colombian Navy and plans to build an additional two more for a total of six vessels. The company has also constructed OPVs like the 7 de Agosto, which participated in operations Atalanta and Ocean Shield off the Horn of Africa.

When it comes to other countries, in early August the Chilean shipyard Astilleros y Maestranzas de la Armada (ASMAR) launched the OPV Cabo Odger from its facilities in Talcahuano. The company has already delivered three similar vessels:“Piloto Pardo, Comandante Toro and Marinero Fuentealbathat were commissioned June 2008, August 2009, and November 2014, respectively.”

As for neighboring Peru, the state-run shipyard Servicios Industriales de la Marina (SIMA) has, as previously mentioned, constructed the country’s new training vessel (the author has discussed Latin America’s training vessels in a 6 June commentary for CIMSEC). On 27 July, the BAP Union departed the port in Callao for its first multinational voyage, carrying aboard 93 Peruvian naval cadets. Moreover, two patrol vessels were launched earlier this year: the Rio Pativilca and the Rio Cañete; they were constructed in SIMA’s shipyard in Chimbote (northern Peru).

As a final example,the Mexican Secretariat of the Navy has announced that the shipyard Astillero de la Marina (ASTIMAR) has launched two new vessels in the past couple of months. The shipyard No.6 at Guaymas (state of Sonora) launched thelogistics support vessel ARM Isla María Madre in late May while shipyard No.1 shipyard launched coastal patrol vessel ARM Monte Albán in mid July. IHS Jane’s Defense Weeklyexplains that “Secretary of Navy Admiral Vidal Soberón Sanz noted during the launch ceremony that the ship was entirely built by Mexican workers with local materials.”

In an interview with the author, Mr. Mario Pedreros Leighton, president of the Georgetown Consulting Group, LLC., based in Washington DC, highlighted the multipurpose functions that these domestically-manufactured platforms accomplish. As inter-state war is highly unlikely in Latin America, platform acquisition is not solely judged on traditional defense from a foreign military, but what other missions platforms can carry out, particularly to support civil society. Mr. Pedreros Leighton explains how “there is no doubt that vessels today must fulfill a social role, like protecting natural resources and carrying out search and rescue operations. These uses make the vessels more attractive as their value is not based on traditional defense. In turn, governments find it easier to approve budgets and investments regarding these projects.” Hence, it is no surprise that the region has focused on constructing OPVs and multipurpose ships, as they are relatively inexpensive to operate and maintain, and can be utilized for patrol, support operations, as well as providing relief to coastal regions. 

Future Projects?

It is safe to say that Latin American shipyards will continue to produce vessels and submarines for local navies. As previously mentioned, Brazil is close to completing the construction of twoScorpene submarines, while it is expected that the two others will be delivered in 2022 and 2023. Even more, the highly anticipated nuclear submarine should be ready around 2023-2025.

Moreover, it appears that the Argentine shipbuilding industry is bouncing back after experiencing a difficult decade and a half of economic crisis and turbulent governance. The Rio Santiago shipyard in Buenos Aires province will now manufacture vessels that will be utilized to train naval cadets. Two are currently under construction, with a total of six expected to be ordered. According to the Argentine news agency Telam, the first will be delivered in 2018. Moreover, earlier this year Rio Santiago signed a deal with Daewoo to manufacture a Makassar-type landing dock platform vessel.

It is important to highlight the assistance that other companies are providing to Latin American shipyards. Apart from DCNS in Brazil or Daewoo in Argentina, other examples include, Damen, which signed an agreement with Mexico so the country can construct in its own shipyards the aforementioned OPVs which are based on Damen’s Stan Patrol 4207. Similarly, while the Union was constructed in Peru, the Spanish company CYPSA Ingenieros Navales aided SIMA in the design of the vessel. As for future cooperation projects, representatives from Mitsubishi Hitachi Power Systems and Copower Ltda visited the facilities of Ecuador’s state-run shipyard Astilleros Navales Ecuatorianos (ASTINAVE) this past May.

The argument proposed here is that Latin American shipyards will continue to aim at domestically manufacturing platforms, which means that future deals with foreign shipyards will have to include some level of know-how and technical exchange.

The Ultimate Objective: Export

What is the ultimate goal for these shipyards? Manufacturing platforms for export, and not just to sell to local navies appears to be the answer. On this issue, Colombia’s COTECMAR reached a major milestone in April when Colombian President Juan Manuel Santos carried out a diplomatic tour throughout Central America. During his stop in Honduras, President Santos signed a deal with the Honduran government where the latter will purchase a COTECMAR support vessel (the exact model and timeline for delivery are still unknown).

The significance of this deal cannot be underestimated as it is a Latin American shipyard exporting a platform to another regional state. (COTECMAR had previously supplied river boats to the Brazilian Army and Navy, however we are focusing on ocean-going platforms).

Colombia–Launch of the ARC Golfo de Uraba. (COTECMAR)

This deal also brings up the question of which countries are potential customers for Latin American shipyards. It makes sense that their primary targets would be countries with less developed naval industries, like for example Central America, Uruguay, and perhaps Caribbean states. If these hypothetical deals succeed, maybe some regional shipyard could attempt to export outside of the Western Hemisphere.

One plausible scenario is that, even if Latin American shipyards cannot sell brand-new platforms to the aforementioned nations, they could hypothetically still sell efficient, second-hand vessels from local navies at a much reduced cost. Mr. Pedreros Leighton explains how “Chile, for example, could attempt to sell the OPV Piloto Prado [constructed by ASMAR and utilized by the Chilean Navy] which is almost a decade old and was constructed utilizing a Fassmer 80 design.” Second-hand platforms are always an attractive option when there are insufficient funds for brand-new equipment.

Potential Problems

Due to space considerations, we will provide a broad overview of the likely woes thatregional shipyards could face regarding future projects. Financial and technical problemsare obvious concerns, which are best exemplified by the construction of the Brazilian submarines. In 2009, the Navy’s objective was to have the first submarine, the Riachuelo, launched in 2015, but construction has been delayed by three years. Meanwhile, the delivery date for the nuclear submarine varies by a margin of two years. These changing delivery dates certainly do not help the image of the ICN shipyard and its supporting companies.

Another issue is finding customers, locally and abroad. The global shipbuilding industry is cluttered as shipyards compete with one another as well as government-to-government deals (e.g. Peru has recently obtained a new corvette, the Ferre, which was donated by South Korea).  Moreover, while Latin American shipyards can construct vessels, potential customers may continue to prefer more expensive platforms from well-known companies.

Another problem has to do with the volume of construction. Mr. Pedreros Leighton explains that “building one vessel is very expensive, but manufacturing two or more makes the project less costly.” Unsurprisingly, shipyards prefer to have large orders, however they may have to settle for single units (e.g. COTECMAR and Honduras) in order to establish their brands with foreign customers. While this situation may diminish sales revenue, the offset would be achieving a stronger name brand.

A final point has to do with marketing and name brands. Colombia’s COTECMAR has had an aggressive marketing program in order to gain customers abroad such as Brazil and Honduras. It is beyond the scope of this essay to discuss marketing strategies among shipyards, however it is necessary to stress that Latin American shipyards will only export platforms if they manage to make their names become well-known regionally.

Concluding Thoughts

Latin American shipyards are currently enjoying a boom, as many of them are constructing vessels from Brazilian submarines to OPVs in Chile and Mexico, to multipurpose vessels in Colombia, and a training vessel in Peru. This is a positive development for regional navies as they can rely on domestic shipyards to construct new platforms and have the expertise to repair vessels already in service. Moreover, the sale by Colombia’s COTECMAR to Honduras of a support ship is a significant development as this means regional shipyards are now exporting platforms.

It is true that Latin American navies cannot manufacture heavy surface combatants or carriers; meanwhile Brazil is having trouble keeping its ambitious PROSUB submarine project on schedule. Nevertheless, the tides are changing and Latin America is no longer solely an importer of sea platforms, it is also once again a producer and, albeit in a very restricted breadth, an exporter. 

Alejandro Sanchez Nieto is a researcher who focuses on geopolitical, military, and cyber security issues in the Western Hemisphere. Follow him on Twitter: @W_Alex_Sanchez.

The views presented in this essay are the sole responsibility of the author and do not necessarily reflect those of any institutions with which the author is associated.