Kencoa Aerospace Acquires Essential Space Launch Vehicle Process Firm, Aiming for Key Role in U.S. Space and Defense Sectors

Kencoa Aerospace has begun expanding its defense and space business in the North American market.

On January 6, Kencoa Aerospace announced that it had completed the acquisition of Aremac Heat Treating, a U.S.-based heat treatment specialist, through its American subsidiary, Kencoa Aerospace LLC.

Lee Minkyu, CEO of Kencoa Aerospace, stated, "This acquisition marks a significant turning point in our global growth strategy centered on the space and defense sectors. By acquiring a heat treatment specialist located near our existing U.S. production base, we will further expand Kencoa's role within the North American space and defense industry supply chain."

He added, "Through continuous technological advancement and strategic investment, we aim to become a trusted company for global space and defense customers and partners."

Kencoa decided to acquire the heat treatment specialist as part of its ongoing strategy to expand its global space and defense business. Through this acquisition, the company has strengthened its local heat treatment production base targeting the North American space and defense markets and established a production system capable of reliably meeting the stringent quality standards and delivery requirements unique to the defense and space sectors. The company plans to further reinforce its business foundation within the U.S. defense and space industry supply chain.

The company explained that by securing additional heat treatment processes essential for manufacturing core components for space launch vehicles and defense aircraft, it has enhanced its competitiveness in the North American market. With supply chain stability emerging as a key issue across the global space and defense industries, Kencoa expects strong demand for its local production system.

To respond to the North American defense market, Kencoa Aerospace has built a local production system by acquiring an aerospace and defense company with over 20 years of experience in Georgia, U.S. This has drawn attention as a case of a Korean company acquiring a U.S. defense firm. Kencoa continues to expand its production of defense and space components and its customer base in the United States.

Aremac Heat Treating, founded in 1968, is a heat treatment specialist located near Georgia. Prior to the acquisition, it operated a factory of approximately 5,300 square meters on a site of about 43,000 square meters, carrying out heat treatment processes for the space and defense industries.

Kencoa Aerospace plans to gradually expand its production capacity, focusing on the North American market. Centered on the space and defense sectors, the company will expand its Georgia production facility to about 33,000 square meters, strengthen its precision machining capabilities, and enhance its specialized workforce to establish a foundation for mid- to long-term growth.

During the process of expanding its production base in the Georgia region, Kencoa Aerospace discussed cooperation plans with Georgia Governor Brian Kemp. The company expects that, with support from the U.S. government, it will further enhance its competitiveness in the North American space and defense markets and positively impact the expansion of global orders linked to the Korean space industry.

Kencoa Aerospace LLC is Kencoa Aerospace's key subsidiary responsible for space and defense manufacturing in the United States. Based in Georgia, it produces engine-related parts and precision-machined products for the space and defense aviation sectors, handling local customer needs and manufacturing functions in the North American space and defense market.