South Korean arms company Hanwha Aerospace has made significant progress in establishing its presence within Europe by securing nearly $1 billion worth of military contracts with Romania. The contracts, which were confirmed last year, include 54 K9 Thunder self-propelled howitzers of 155mm caliber and 36 K10 ammunition supply vehicles. These military supplies aim to bolster Romania's defense capabilities as well as introduce local production capacities seamlessly.
According to Michael Coulter, CEO of Hanwha Global Defense, the company has chosen Romania not only as part of supplying the newly signed contract but as part of a broader strategic vision to become integrated within the European defense manufacturing framework. "We believe the best way to do this is to be local... we see Romania as our operational hub here in Europe," Coulter stated in interviews released on March 15, 2025.
The ambitious project will see the construction of Hanwha's factory built from scratch, set to be located in Dâmbovița, Romania. Construction of the factory is expected to kick off by the end of 2025 or early 2026, with expectations to maximize local production. Notably, the factory is anticipated to produce over 50% of the howitzers domestically, as Coulter noted, "We have already identified over 30 companies and suppliers" within Romania, which encompass various sectors tied to defense manufacturing.
The first system of howitzers is scheduled to be delivered from South Korea by the end of 2026, with subsequent systems planned for production within Romania. Each system comprises 18 K9 howitzers, 12 K10 vehicles for ammunition resupply, three tracked recovery vehicles, and 13 trucks among other logistics systems. "The first system will be delivered from Korea at the end of 2026," Coulter added.
Over the next few years, the local factory is projected to generate approximately 2,000 jobs directly and indirectly. Training initiatives will also be launched, where selected Romanian workers will receive instruction from Hanwha experts based in South Korea. "We won't be able to send every employee to Korea, but we will start with supervisors, technical engineers, and supply chain management staff," explained Coulter. They are coordinating with local authorities to secure necessary visa arrangements for South Korean trainers.
Looking beyond the K9 howitzer production, Hanwha is eyeing additional contracts with Romania. The Romanian Ministry of National Defense is currently seeking to purchase 298 armored fighting vehicles through a tender collectively valued at approximately €3 billion. Hanwha is positioning its K21 Redback vehicles as strong candidates for this potential deal, emphasizing their shared production technology and efficiencies.
The K9 howitzer itself is noted for its strategic advantages, capable of targeting positions over 40 kilometers away, showcasing the modernized approach to artillery systems. Its ammunition supply counterpart, the K10, can handle the logistical needs of resupplying munitions efficiently under combat conditions. "The factory will reach 100% capacity by the time the third system is delivered in 2029," remarked Coulter, indicating their long-term vision for local production.
With this venture, Hanwha is not just establishing a manufacturing facility but is entrenching itself as part of Romania’s military and industrial security, strengthening NATO alliances through sheer operational capacity and local integration. The anticipated contributions from local suppliers reflect significant collaborative efforts through this strategic partnership.
Romania is positioning itself as not only a consumer of defense technology but also as a talent pool for manufacturing high-tech military solutions, signaling broader changes for defense procurement and production across Eastern Europe.
This development marks another chapter for the region, asserting Romania’s role within the European defense sector as more countries seek to localize military supplies and reduce reliance on overseas production.