Navy chief Adm Somprasong Nilsamai will drop a funding request for two more Yuan-class S26T submarines under the 2023 fiscal budget because of the economic impact of Covid-19.
It will be the first time the navy has declined to ask for funding for its submarine procurement project.
Previously, it has been forced to back down after opposition.
In the past procurement has been put on hold because requests for funding were rejected by parliament or the prime minister, a navy source said.
With the emerging Omicron variant of the coronavirus spreading rapidly, Adm Somprasong believes no one would agree with the navy pressing ahead with the submarine procurement now, the navy source said.
According to the source, the navy budget risks being slashed, because the funding the navy is seeking for the 2023 fiscal year, which starts on Oct 1, is already high.
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