Defense Export Value Falls for 3 Consecutive Years... This Year's Target at Half Level

DAPA Achieves $10 Billion Defense Export Target This Year
Blow to Second Export Contract of Poland K2 Tank

The scale of defense industry weapon exports has declined for three consecutive years. This year, the government claimed that ‘K Defense’ is gaining attention in countries like Poland and set a goal to achieve $20 billion in defense exports, but it is expected to reach only about half of that.

On the 2nd, Hyundai Rotem's K2 tank was exhibited at the 'Korea International Defense Industry Exhibition' held at Gyeryongdae, Chungnam. Photo by Jinhyung Kang aymsdream@

According to a government official on the 31st, domestic defense exports this year are estimated to be around $10 billion. Defense exports peaked at $17.3 billion in 2022, then decreased to $13.5 billion in 2023, and $10 billion in 2024, marking three consecutive years of decline. This year, about 15 contracts for domestic weapons exports were concluded with countries such as Iraq (Cheongung-II), Poland (Cheonmu multiple rocket launcher), and Romania (K9 self-propelled howitzer). Most recently, a contract was signed with Iraq for the export of the multipurpose mobility helicopter ‘Surion’ worth 135.7 billion KRW.

There was also anticipation that a second export contract for 820 units of the K2 tank with Poland would be finalized within the year. The Defense Acquisition Program Administration (DAPA), the competent authority, projected that export performance this year would exceed $15 billion based on this contract. However, the contract was postponed this year due to Poland’s decision.

Concerns have been raised that the aftermath of President Yoon Suk-yeol’s declaration of martial law on the 3rd is negatively affecting exports of K-Defense weapon systems. In fact, after the martial law incident, there are reports that the Polish side has adopted an attitude that there is no need to rush the contract. During the martial law situation, Sadyr Japarov, President of Kyrgyzstan, who was visiting Korea, canceled his schedule to tour the Korean-made mobility helicopter production site and hurriedly returned home. Additionally, the Air Defense Commander of the United Arab Emirates (UAE), which is importing Korean air defense weapon systems, also canceled a planned visit to Korea this month.

The government is reportedly internally reviewing whether to maintain the somewhat ambitious export contract target for K-Defense weapons next year as it is or to lower it to a more achievable level.

This content was produced with the assistance of AI translation services.