Hanwha Aerospace to Establish Munitions Production Base in Arkansas with USD 2.2 Billion Investment

Production of 155mm Shell Components and Propellant Charges
Creating Approximately 400 Jobs Over 7 Years
Strengthening Local Manufacturing Capacity

Hanwha Aerospace is establishing a munitions production base by investing USD 2.2 billion (approximately KRW 3 trillion) in a U.S. Army site.

Eebhwan Lee, CEO of Hanwha Aerospace (second from left), Michael Kulter, Head of HDUSA Corporation (second from right), and Sarah Huckabee Sanders, Governor of Arkansas (fourth from left), are cutting the ribbon at the opening ceremony of the PBA office held on the 21st (local time) in Arkansas, USA. Hanwha Aerospace

Hanwha Defense USA, the U.S. subsidiary of Hanwha Aerospace, announced on the 21st (local time) that it has held an opening ceremony for its local office at the Pine Bluff Arsenal (PBA), a U.S. Army base in Arkansas.

Hanwha Defense USA was selected in January as the developer for the Pine Bluff Arsenal site lease project, a bid solicited by the U.S. Army. The opening of the office marks the first step in executing the plan to establish a munitions production hub.

Hanwha Aerospace will build facilities for producing 155mm artillery shell components and propellant charges on the site. Over the next seven years, the company plans to invest USD 2.2 billion to establish the munitions production base and create approximately 400 jobs.

The new facility will feature an integrated manufacturing system that vertically consolidates the entire munitions production process, from raw materials to finished products. The company expects that the new production plant will contribute to increasing domestic munitions manufacturing capacity in the U.S. and modernizing the aging ammunition industry infrastructure.

Hanwha Aerospace plans to use this investment as an opportunity to accelerate the expansion of its U.S. operations.

Last month, the company signed a contract with the U.S. Army to supply prototypes of the K9 Wheeled Self-Propelled Howitzer (K9MH) for the Mobile Tactical Cannon (MTC) program, and is currently establishing a facility in Opelika, Alabama for prototype assembly, integration, and testing. By leveraging its self-propelled howitzer base in Alabama and its ammunition base in Arkansas, Hanwha Aerospace aims to strengthen its presence in the U.S. land defense market.

Michael Coulter, CEO of Hanwha Defense USA, stated, "Based on Hanwha’s manufacturing capabilities, we are delivering on our promise to strengthen the foundation of the U.S. defense industry through investment and job creation. Going forward, we will not only enhance the capabilities of the U.S. munitions industry, but also actively contribute to the expansion of defense cooperation between our two countries."

This content was produced with the assistance of AI translation services.