Egypt Eyes Strategic Procurement of Chinese Type 039A Submarines and Tech Transfer.

The Egyptian Ministry of Military Production (MoMP) is reportedly engaged in advanced negotiations with China concerning the acquisition of Type 039A (Yuan-class) diesel-electric submarines, according to information released by the "Tactical Report" website. These discussions not only cover the procurement of the submarines themselves but also include vital agreements on technology transfer (ToT) and localization. The strategy is clearly aimed at strengthening Egypt's domestic defense manufacturing capabilities and reducing reliance on foreign suppliers.
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A Chinese Type 039A (Yuan-class) diesel-electric submarine, the model Egypt is negotiating to procure with technology transfer agreements. (Picture source: Wikimedia)

Today, the Egyptian Navy operates a diversified fleet of eight diesel-electric submarines (SSK). The force consists of four Chinese-supplied Type 033 (Romeo-class) submarines, each equipped with eight 533mm torpedo tubes and armed with UGM-84C Harpoon Block 1B anti-ship missiles and Mk 37 heavyweight torpedoes. While modernized, these older platforms are approaching the end of their operational lifespan. Complementing them are four German-built Type 209/1400mod submarines, delivered between 2016 and 2021. These newer vessels, also armed with eight 533mm torpedo tubes, feature the UGM-84L Harpoon Block II missiles and SeaHake mod 4 (DM2A4) heavyweight torpedoes, significantly enhancing Egypt’s undersea strike capabilities and overall naval deterrence.

Egypt’s relationship with China in the defense sector has been growing substantially in recent years. A significant milestone was reached in April 2025 when Egypt and China conducted their first-ever joint military exercises, named "Eagles of Civilization 2025," in Egyptian airspace. The drills involved a variety of military assets and demonstrated an intensifying strategic partnership. Beyond exercises, Egypt has shown a clear interest in Chinese defense technology, notably considering the acquisition of the Chengdu J-10CE fighter jet. This interest aligns with Egypt’s broader goal of diversifying its defense procurement sources and not depending solely on traditional Western partners. Favorable offers from China, especially those involving technology transfer and domestic industrial participation, are particularly attractive to Cairo.

China’s submarine industry has advanced remarkably over the last two decades, with the Type 039A (Yuan-class) submarine being a prime example of this progress. Development of the Type 039A began in the early 2000s, as China sought to design a more advanced and stealthier successor to its older Type 039 (Song-class) submarines. The first Type 039A entered service with the People's Liberation Army Navy (PLAN) around 2006, representing a significant leap forward in China’s underwater warfare capabilities. One of the most notable improvements was the integration of an air-independent propulsion (AIP) system, which enables the submarine to operate submerged for longer periods without surfacing, thereby drastically enhancing its stealth and operational endurance.

The Type 039A features several cutting-edge attributes. It employs a diesel-electric propulsion system augmented by AIP technology, allowing for greater submerged endurance than traditional diesel submarines. The submarine is armed with six 533 mm torpedo tubes, capable of launching heavyweight torpedoes, anti-ship missiles, and deploying naval mines. Its sensors and systems include advanced sonar arrays and electronic warfare suites, all managed through a digital combat management system that boosts situational awareness and combat efficiency. The submarine's design emphasizes stealth, incorporating a teardrop-shaped hull and noise-reduction technologies to minimize its acoustic signature.

China has successfully exported variants of the Type 039A to international clients; Pakistan, for instance, operates an export version known as the Hangor-class. This growing export footprint highlights China's emergence as a key global supplier of modern submarine technology.

Should Egypt proceed with the acquisition of the Type 039A submarines, coupled with robust technology transfer and localization agreements, it would significantly strengthen the Egyptian Navy’s underwater warfare capabilities while enhancing the country's defense industrial base. This move fits neatly into Egypt's broader strategy of modernizing its armed forces and developing indigenous military production. Furthermore, expanding defense ties with China could have important geopolitical repercussions, potentially reshaping Egypt’s traditional alignments and giving Cairo greater autonomy in securing its national and regional maritime interests. As the talks continue, Egypt’s drive to diversify its defense partnerships appears poised to elevate its strategic posture both regionally and beyond.