Hi Markshot,
The VIIC/41 optional mod gives your player sub the external 3D model of a Type VIIC/41. It must be enabled separately following your selection of a Type VIIC/41 in-game.
It does not change the max diving depth or other physics though to further reflect VIIC/41 capabilities.
If you use SH3 commander though, IIRC it does have an option to give your sub VIIC/41 depth capabilities.
We are glad you are enjoying GWX sir.