[Yang Nak-gyu's Defence Club] Can K-Defense Achieve $10 Billion in Exports This Year?

This Year’s Defense Export Stars Like K-9 Self-Propelled Howitzer and Cheongung II Shine
Hopes for K-2 Tank Exports to Poland and Norway by Year-End

[Asia Economy Yang Nak-gyu, Military Specialist Reporter] Will the scale of defense exports surpass '10 billion dollars' this year? As European countries continue to send 'love calls' for Korean-made weapons, there is growing expectation that K-defense exports will gain more momentum.

Recently, defense exports of the K2 tank, known as an 'export star' along with the K9 self-propelled howitzer (Hanwha Defense), Cheongung II (LIG Nex1, Hanwha Systems, Hanwha Defense), the advanced trainer T-50 including the FA-50 (KAI), 1400-ton class submarines, and sports ammunition (Poongsan) are anticipated.

Recently, Norway indicated that it will decide within the year whether to introduce Hyundai Rotem's K2 tank. A spokesperson for the Norwegian Ministry of Defense stated in a written response to a request from Voice of America (VOA), "By the end of this year, we plan to decide on a new main battle tank between Hyundai Rotem's K2 (Korea) or Krauss-Maffei Wegmann's Leopard 2A7 (Germany)."

Norway conducted test evaluations of the K2 tank locally in February. In the second half of this year, after technical and price negotiations, the priority negotiation partner for the tank project will be selected, and a contract is expected by the end of the year. Internally, Norway tends to prefer German tanks as a NATO member, but the K2 is reported to be recognized for its competitiveness in terms of performance.

Regarded as the world's strongest tank, the K2 tank's development technology was also exported to Turkey. The currently operated K2 tank is equipped with a 120mm 55-caliber smoothbore main gun. Its mobility is powered by a 1,500-horsepower engine, achieving a maximum speed of 70 km/h. It applies an active protection system that disrupts guidance, detecting anti-tank guided missiles approaching the tank and responding by firing smoke grenades or evasive maneuvers; even if hit, it enhances survivability with explosive reactive armor.

The successor model plans to apply future new technologies such as an artificial intelligence (AI)-based vehicle operation system and combined operation technology for manned and unmanned vehicles. The turret, armed with a 130mm main gun and multipurpose missiles, will be operated unmanned. Additionally, it will be equipped with advanced devices such as a 360-degree situational awareness system, active protection system, and multipurpose drones, expected to suppress various threats in future battlefield environments.

The K9 self-propelled howitzer, developed over 10 years by Hanwha Defense, has been exported widely as a 'luxury' Korean-made weapon. Developed in 1998, the K9 has a maximum range of 40 km, a firing rate of 6-8 rounds per minute, and an ammunition load of 48 rounds. According to the Stockholm International Peace Research Institute (SIPRI), from 2000 to 2017, the K9 accounted for 48% of the global self-propelled howitzer export market, demonstrating its recognized performance.

Hanwha Defense signed its first local production supply contract through technology transfer with Turkey in 2001. Since then, K9 has been exported to Poland, Finland, India, and Norway. Norway introduced 24 K9 units and 6 K10 ammunition resupply armored vehicles.

The submarine, called the 'assassin of the sea,' has also achieved export success following domestic development. Since 2011, Daewoo Shipbuilding & Marine Engineering has exported six 1400-ton class submarines (to Indonesia, etc.) and six naval support ships (to the UK and Norway), with cumulative export sales reaching 3.6 billion dollars (approximately 4.62 trillion won) to date.

Daewoo Shipbuilding & Marine Engineering signed contracts with Indonesia in 2011 and 2019 to export a total of six 1400-ton class submarines. The exported submarines are an improved version of the Navy's 209-class Jangbogo submarine (1200-ton class). They are 61 meters long, carry 40 crew members, and can navigate 10,000 nautical miles (18,520 km) without intermediate stops.

With this export, Korea has been recognized overseas for its submarine construction capability, considered the most difficult among shipbuilding technologies, becoming the world's fifth-largest submarine exporter after the UK, France, Russia, and Germany. Korea, which began submarine construction in 1988 after acquiring technology from Germany, is now evaluated to be on par with Germany. In the 2011 Indonesian submarine procurement project, Korea won the contract, beating Russia and Germany.

Cheongung II signed a 4 trillion won export contract with the United Arab Emirates (UAE) earlier this year. This is the largest single guided weapon export deal. LIG Nex1, Hanwha Systems, and Hanwha Defense signed a 3.5 billion dollar (approximately 4.2 trillion won) export contract for the domestically produced surface-to-air missile Cheongung II with UAE defense company TTI. Cheongung II, which intercepts enemy missiles, was developed by LIG Nex1 over five years starting in 2012 and deployed in actual combat. One battery consists of a fire control center, multifunction radar, and three launch vehicles. The radar is produced by Hanwha Systems, and the launch vehicles by Hanwha Defense.

Previously, the basic trainer KT-1, developed purely with domestic technology by the Agency for Defense Development and KAI (Korea Aerospace Industries), was exported to Indonesia in 2001, followed by Turkey in 2007 and Peru in 2012. In 2014, 12 units of the domestically produced light attack aircraft FA-50 were exported to the Philippines through a contract worth 420 million dollars. The FA-50 was also exported to Indonesia with 16 units in 2011. KAI has achieved cumulative sales of 3.9 trillion won from T-50 series exports.

The FA-50, a model converted from the advanced trainer T-50 into a light attack aircraft, measures 13.13 meters in length, 9.45 meters in wingspan, and 4.85 meters in height, with a top speed of Mach 1.5. It can carry up to 4,500 kg of armament. The economic effect of exporting one T-50 aircraft is said to be equivalent to exporting 1,000 mid-sized cars.