The company's American subsidiary Hanwha Defense USA held an opening ceremony for its new office at Pine Bluff Arsenal, a U.S. Army installation in Arkansas, marking the first step toward building out the planned production base.
Hanwha plans to manufacture components for 155-mm artillery shells and propelling charges at the site, using an integrated system that links the entire manufacturing process from raw materials to finished products.
The company said the project is expected to expand U.S. ammunition production capacity and help modernize aging industrial infrastructure there, while creating about 400 jobs.
The latest investment comes after the company signed a contract with the U.S. Army last month to supply a prototype of the K9MH, a next-generation, high-mobility self-propelled howitzer built for modern combat, for the Army's Mobile Tactical Cannon (MTC) program. It is also building a separate facility in Opelika, Alabama, to assemble, integrate, and test prototypes.
With the two facilities in Alabama and Arkansas, Hanwha said it aims to strengthen its foothold in the U.S. ground-defense sector while reinforcing the broader South Korea-U.S. alliance.
Michael Coulter, head of Hanwha Defense USA, said the investment reflects the company's commitment to strengthening America's defense industrial base, adding that Hanwha aims to expand U.S. ammunition production capacity and deepen defense cooperation between the two countries.
AJP Takeaways
- Hanwha Aerospace will invest US$2.2 billion (about 3 trillion South Korean won) over seven years to build an ammunition production hub at Pine Bluff Arsenal, a U.S. Army installation in Arkansas, with the project expected to create about 400 jobs.
- The Pine Bluff Arsenal facility will manufacture components for 155-mm artillery shells and propelling charges through a vertically integrated manufacturing system covering the process from raw materials to finished products.
- The Arkansas investment follows Hanwha Aerospace's September 2026 contract with the U.S. Army to supply a K9MH self-propelled howitzer prototype for the Mobile Tactical Cannon (MTC) program, and complements a separate Hanwha Defense USA facility in Opelika, Alabama, for prototype assembly, integration, and testing.
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