The status of the development of a computational tool for simulation of manoeuvering supercavitating torpedoes is described. Results from two separate two-dimensional simulations of the flow around a torpedo shaped test object are presented: One performing a yaw under influence of rudder and pressure forces at 20 m/s, and one in supercavitating condition at 100 m/s. The presented results show considerable improvements compared to earlier reported results, and that manoeuvering and cavitating torpedoes might be handeled within a year.