The Royal Thai Navy (RTN) has given China Shipbuilding & Offshore International Co (CSOC) two more months to honour its agreement to supply the navy with an S26T Yuan-class submarine with German-made MTU396 diesel engines, RTN spokesman Pokkrong Monthatphalin said.
Prime Minister Prayut Chan-o-cha stood by the Defence Ministry's weapons procurement projects, saying they are essential to boosting national security, after the opposition took aim at the ministry's budget on Thursday.
The Royal Thai Navy will hold talks with China Shipbuilding & Offshore International Co (CSOC) on June 9 about a contractual dispute regarding the engine to be fitted in the S26T Yuan-class submarine being built for the navy.
The navy has "some other options" prepared should its 13.5-billion-baht deal to buy a submarine from the China Shipbuilding and Offshore International Company (CSOC) fall through due to the company's failure to procure the German-made MTU 396 engine for the project.
Navy chief Adm Somprasong Nilsamai on Sunday confirmed that China made an informal offer to provide the Thai navy with two used submarines to train staff while waiting for the first of its order of Chinese-made submarines to be delivered.