South Korean arms manufacturer Hanwha intends to build arms factory in southern Romania

The Hanwha Group, a major South Korean arms manufacturer, intends to build an arms factory in Romania's southern Dâmbovița county within two years, with the prospect of it becoming a regional hub for systems, maintenance, and repairs.

The announcement was made by Michael Coulter, CEO of Hanwha Global Defense, during a meeting with Romanian journalists. "In addition to exporting our product, which will continue, we would like to operate locally in our strategic markets," the company representative pointed out, as quoted by local news agency Agerpres.

Furthermore, Coulter stated that he sees Romania as a hub for European operations.

"Here in Romania, there is a need for industrial consolidation, and we are focusing on delivering K9 and K10 howitzers. We are in the middle of the process of building a factory where we will produce systems. In the first phase, we will deliver directly due to the urgent need, but over time, we will bring K9 and K10 production to Romania," he added.

He mentioned that "efforts are being made to accelerate the process" and estimated that the construction of the factory will be completed within two years, with its initiation planned for the first quarter of next year.

The South Korean company has already opened an office in Bucharest, and once construction of the factory begins, it will collaborate with Romanian companies such as Pro Optica and Iveco. The ffacility will be built from scratch in Dâmbovița, and the company is in the process of obtaining all necessary permits.

In July 2024, Hanwha Aerospace signed a contract with Romania’s Ministry of Defense for the delivery of 54 K9 self-propelled howitzers and 36 K10 ammunition resupply vehicles. Under the agreement, the company will deliver the vehicles in stages over the next five years, with the first delivery due in early 2027. Most of the vehicles will be manufactured in Romania with extensive involvement of local suppliers.

"Our priority is the delivery of K9 and K10, according to the agreement with the Romanian government, but we already have several such vehicles in NATO and Europe, so the idea is to be able to produce components, conduct maintenance, and carry out repairs here in Romania. I believe this is something that can be achieved fairly soon," Coulter said.

He estimated that the factory in Romania could create up to 2,000 jobs, depending on the contracts awarded. Specialists from Romania could receive training in South Korea or take courses with trainers from the country.