Synergy Expected from Integration of Ammunition and Artillery

Hanwha Aerospace is seeking to acquire the ammunition business division of Poongsan, a domestic ammunition manufacturer.


According to industry sources on April 3rd, Hanwha Aerospace has reportedly participated in a private bidding process for the sale of Poongsan's ammunition business division and has submitted its final bid proposal.

(Washington = Yonhap News) Hong Jungkyu, Correspondent = On the 13th (local time), the K9A2 self-propelled howitzer was displayed at the Hanwha Aerospace booth at the Association of the United States Army Expo held in Washington DC, USA. 2025.10.14    Photo by Zheng

(Washington = Yonhap News) Hong Jungkyu, Correspondent = On the 13th (local time), the K9A2 self-propelled howitzer was displayed at the Hanwha Aerospace booth at the Association of the United States Army Expo held in Washington DC, USA. 2025.10.14 Photo by Zheng

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It is reported that Hanwha Aerospace was effectively the sole participant in this acquisition deal.


Poongsan is a company that produces a variety of military ammunition, ranging from small-caliber to large-caliber rounds, as well as sporting ammunition. Hanwha Aerospace, which manufactures and exports products such as the K9 self-propelled howitzer—which has seen a sharp increase in demand recently due to the wars in Ukraine and Iran—exports many of its products overseas.


If Hanwha Aerospace succeeds in the acquisition, it is expected to achieve vertical integration, covering everything from ammunition production to the manufacturing and export of weapon platforms.



However, Poongsan stated in a public disclosure on the same day that "various options, including business structure reorganization to enhance corporate and shareholder value, are under review, but nothing has been specifically decided yet."


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