Europe, Middle East emerge as key markets for Korean defense firms

Europe and the Middle East are emerging as major export markets for Korean defense firms as geopolitical tensions fuel demand for advanced weapons systems. Major Korean defense firms are expanding production networks in Central Europe while stepping up sales efforts in the Middle East, where intensifying regional clashes following recent U.S. and Israeli strikes on Iran have accelerated military procurement. In Europe, the defense firms are reshaping their strategies to localize their production system and strengthen regional supply chains. Hyundai Rotem plans to deliver 61 K2PL tanks produced in Poland to the country’s military between 2029 and 2031. The company has also signed a technology transfer contract with Polish defense firm Bumar that includes not only tank manufacturing but maintenance, repair and overhaul capabilities. Hanwha Aerospace is pursuing a similar strategy in Romania. The company began construction in February on a plant to produce K9 Thunder self-propelled howitzers and K10 ammunition resupply vehicles. The Romanian facility will handle not just assembly and testin