[Militech] Annual Sales on the Rise Driven by K-Defense Industry
STX Engine, Securing a Leading Position Beyond Engines and Into Radar Technology
The origins of STX Engine can be traced back to SsangYong Heavy Industries, which was established in 1976. The company started as a specialist in diesel engines. In 1977, it was designated as a defense contractor and subsequently entered the defense industry. In addition to industrial engines, STX Engine produces land engines for the K1 series tanks and K9 self-propelled howitzers, as well as special high-speed engines for naval vessels and military communication equipment. Notably, by successfully localizing engines for the K9 self-propelled howitzer and for tracked vehicles, the company has risen to become a leading player in the defense industry.
The development of localized engines has expanded not only to the K9 self-propelled howitzer but also to vehicles such as the K10 ammunition resupply vehicle and the AS21 Redback infantry fighting vehicle, broadening the scope of application and increasing its economic value. It is analyzed that this has significantly enhanced its economic potential. STX Engine has signed procurement contracts with Hanwha Aerospace, including a 76.2 billion won agreement for engine assemblies for export to Poland. Going forward, STX Engine plans to develop a 1,360-horsepower engine for the K1A2 tank and to localize electronic diesel engines for tracked vehicles such as the K21 infantry fighting vehicle. This project is also expected to boost STX Engine’s defense business performance by reducing license costs.
The company is also making its mark in the maritime sector. Engines from STX Engine are installed in most naval vessels, including the Navy’s Yoon Youngha-class guided missile patrol boats, Gwanggaeto the Great-class and Chungmugong Yi Sun-sin-class destroyers, as well as various classes of Korea Coast Guard patrol vessels.
The company is taking on challenges in the underwater detection sector as well. It has signed a 40.2 billion won contract with Hanwha Ocean to supply towed array sonar and torpedo acoustic countermeasure systems. The equipment provided by STX Engine is a sonar system for naval vessels, used for surveillance and reconnaissance. The towed array sonar system is a passive low-frequency detection system capable of early detection, identification, and tracking of enemy submarines. The torpedo acoustic countermeasure system detects, attracts, and distracts torpedoes, allowing ships to evacuate safely.
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STX Engine has also secured a leading position in the radar field. In 2009, it replaced foreign-made maritime surveillance radars installed on Dokdo Island with a domestically developed radar. This was the maritime surveillance radar (GPS-98K) independently researched and developed by STX Engine. The company began producing coastal surveillance radars in 1999. It produces and supplies various types of radars, including the SPS-95K anti-ship radar for vessels, SPS-100K navigation radar, and SPA-99K display units, maintaining unrivaled technological prowess in the domestic search radar sector. Recently, to establish a next-generation coastal surveillance system, the company is preparing to deliver the ‘Coastal Surveillance Radar-II’, a high-resolution, high-precision radar that utilizes semiconductor components.
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