Hanwha Aerospace Becomes First in Korea to Own K9 for R&D and Marketing Purposes

Possession of Defense Materials for Export Purposes
First Case Under Revised Defense Business Act
"Significant Reduction in Costs and Time"

Hanwha Aerospace has become the first domestic defense company in Korea to own its own weapons systems for export, modification, and development purposes. Previously, the company had to borrow equipment supplied to the military for use at domestic and international exhibitions, but a revision to the relevant law has significantly reduced both costs and time, enabling Hanwha Aerospace to secure competitiveness in research and development (R&D) and exports.

Hanwha Aerospace held a shipment ceremony for the K9A1 self-propelled howitzer for research and development (R&D) and marketing purposes at the Changwon Plant 3 on the 2nd. Hanwha Aerospace

Hanwha Aerospace announced on December 4 that it held a shipment ceremony for the K9A1 self-propelled howitzer for R&D and marketing purposes at its Changwon Plant 3 in Gyeongnam Province on December 2. This equipment is scheduled to be showcased for the first time at a defense exhibition in Saudi Arabia next year.

Until now, Korean defense companies have participated in defense exhibitions or conducted R&D by borrowing military equipment for a certain period. However, an amendment to the Defense Business Act, sponsored by Assemblyman Yoo Yongwon of the People Power Party, which allows defense companies to produce, modify, and develop defense materials for export or national defense R&D with the approval of the head of the Defense Acquisition Program Administration, passed the National Assembly in July. As a result, companies can now own such equipment themselves.

In accordance with the revised law, Hanwha Aerospace has secured key equipment as its own property, including the K9A1 self-propelled howitzer, which is currently a main export product, the K9A2 self-propelled howitzer with a fully automated turret under development, and the Redback infantry fighting vehicle (IFV).

If a defense company owns defense materials, it can save about 100 million won (approximately 75,000 US dollars) per piece of equipment annually in rental and related costs. The administrative process, which previously took two to three months to obtain rental approval from the Defense Acquisition Program Administration and the Ministry of National Defense, has also been eliminated. Performance tests and modifications or development for overseas business contracts can now be carried out quickly, enhancing export competitiveness. Moreover, the military is no longer burdened by operational gaps caused by lending equipment.

A Hanwha Aerospace official stated, "With the support of the National Assembly and the government, we have not only been able to accelerate product innovation to respond quickly to the global defense market, but have also received significant help in pioneering overseas markets."

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