{"id":2202547,"date":"2023-10-23T17:00:56","date_gmt":"2023-10-23T08:00:56","guid":{"rendered":"https:\/\/koreapro.org\/?p=2202547"},"modified":"2023-10-24T16:54:00","modified_gmt":"2023-10-24T07:54:00","slug":"why-south-koreas-arms-export-boom-faces-geopolitical-hurdles","status":"publish","type":"post","link":"https:\/\/koreapro.org\/2023\/10\/why-south-koreas-arms-export-boom-faces-geopolitical-hurdles\/","title":{"rendered":"Why South Korea\u2019s arms export boom faces geopolitical hurdles"},"content":{"rendered":"

Seoul aims to rank as the <\/span>fourth largest global arms exporter<\/span><\/a> by 2027. This ambition, set against the backdrop of landmark deals with Poland and Middle Eastern nations, highlights South Korea\u2019s burgeoning defense sector. However, experts caution against overlooking inherent risks and challenges, from market saturation to diplomatic repercussions.<\/span><\/p>\n

The government and private sectors, including the Agency for Defense Development and companies like Hanwha Systems and LIG Nex1, drive this growth. The recent International Aerospace & Defense Exhibition (ADEX) at Seoul Airport, the nation\u2019s largest defense expo, attracted 550 firms from 35 countries, showcasing innovations like Hanwha\u2019s K-9 self-propelled howitzer and Hyundai Rotem\u2019s K-2 Black Panther tanks.<\/span><\/p>\n

\u201cI\u2019d like all of these weapons platforms to be attractive to our consumers,\u201d Jang Siyoung, Hanwha Aerospace\u2019s business development manager, told <\/span>Korea Pro<\/span><\/i>, highlighting the global appeal of the company\u2019s offerings, particularly the K-9 howitzer.<\/span><\/p>\n

EUROPEAN DEMAND FOR KOREAN DEFENSE ASSETS<\/b><\/p>\n

The European appetite for South Korean defense assets has grown amid Russia\u2019s invasion of Ukraine. Despite Seoul\u2019s stance against supplying lethal aid to Ukraine, European nations are increasingly procuring Korean military equipment, including tanks, jets and artillery, for various purposes, including support for Kyiv.<\/span><\/p>\n

\u201cEuropean demand is particularly strong for guided weapons systems,\u201d Choi Gi-il, a professor at Sangji University\u2019s national security division, told <\/span>Korea Pro<\/span><\/i>.<\/span><\/p>\n

In a landmark <\/span>$13.7 billion deal<\/span><\/a> last year, Poland, a NATO member state, secured numerous Korean military assets, marking Seoul\u2019s largest European arms contract. The agreement encompassed FA-50 light combat aircraft, K-9 howitzers, Chunmoo MLRS rocket systems and K-2 tanks.<\/span><\/p>\n

\u201cPoland\u2019s NATO membership significantly broadens our European market scope,\u201d Hanwha Aerospace\u2019s Jang said.<\/span><\/p>\n

Beyond Poland, other European countries have also engaged with Seoul\u2019s defense industry. Recent deals include <\/span>Norway\u2019s<\/span><\/a> acquisition of additional K-9 howitzers, <\/span>Finland\u2019s<\/span><\/a> contract extension for more K-9s and a memorandum of understanding (MOU) between Hanwha Aerospace and <\/span>Romania<\/span><\/a> for K-9s and infantry fighting vehicles.<\/span><\/p>\n

Korea Institute for Defence Analyses\u2019 (KIDA) senior analyst Shin Seung-ki attributes this demand surge to the cost-effectiveness and quality of Korean armaments, crucial for nations like Poland, which is facing immediate security concerns, particularly from Russia.<\/span><\/p>\n

\u201cPoland and other Central European countries feeling the heat from the Ukraine conflict are prioritizing the immediate acquisition of cohesive weapon systems,\u201d Shin told <\/span>Korea Pro<\/span><\/i>.<\/span><\/p>\n

However, Choi notes that beyond cost-effectiveness, \u201cadherence to delivery timelines\u201d remains a critical factor for these countries, often constrained by diplomatic ties and historical reliance on Soviet equipment.<\/span><\/p>\n

Echoing Choi, Kim Seongjin, a senior researcher at the Defense Agency for Technology and Quality, emphasized the importance of \u201cmeeting delivery schedules stipulated by purchasing nations.\u201d<\/span><\/p>\n

\"\"

South Korean President Yoon Suk-yeol meets with UAE President Mohamed bin Zayed Al Nahyan, Jan. 2023 | Image: ROK Presidential Office<\/a><\/em><\/p><\/div>\n

MIDDLE EASTERN ENGAGEMENTS<\/b><\/p>\n

South Korea\u2019s defense industry marked a significant milestone with the UAE in <\/span>Jan. 2022<\/span><\/a>, exporting the Cheongung mid-range surface-to-air missiles (M-SAMs) and signing a strategic defense MOU in <\/span>2023<\/span><\/a> that bolstered bilateral security ties.<\/span><\/p>\n

\u201cSouth Korea\u2019s technological prowess and cost-effective solutions present the UAE with practical advantages in terms of cost management and international diplomacy,” KIDA\u2019s Shin told <\/span>Korea Pro<\/span><\/i>. \u201cThis suggests the potential for increased cooperation between the UAE and South Korea.\u201d<\/span><\/p>\n

Shifting focus, Sangji University\u2019s Choi identified Saudi Arabia as a burgeoning market for Seoul\u2019s defense technologies. This prediction gained substance during President Yoon Suk-yeol\u2019s recent visit to the country, where Kim Tae-hyo, Seoul\u2019s National Security Office\u2019s first deputy director, <\/span>announced<\/span><\/a> an imminent \u201clarge-scale defense cooperation.\u201d<\/span><\/p>\n

An $800 million deal in <\/span>March 2022<\/span><\/a> had already seen South Korean entities like LIG Nex1 and Hanwha Systems providing Saudi Arabia with diverse defense systems. The renewed talks in <\/span>June<\/span><\/a>, focusing on military collaboration and in-person M-SAM assessments, highlight this growing partnership.<\/span><\/p>\n

Choi attributed Saudi Arabia\u2019s diversified defense sourcing to alterations in international alliances and a strategic move away from traditional suppliers. \u201cChanges in U.S.-Saudi relations and regional dynamics are influencing Riyadh\u2019s procurement strategies,” Choi told <\/span>Korea Pro<\/span><\/i>.<\/span><\/p>\n

Pointing out that Chinese companies like Huawei have seized opportunities to expand their presence in the Middle East by engaging in diplomatic efforts in light of tensions between the U.S. and Saudi Arabia, Choi noted that the kingdom has indicated a \u201cshift in its longstanding preference for U.S. armaments\u201d amid evolving diplomatic landscapes.<\/span><\/p>\n

Additionally, Choi highlighted the increasing global focus on robust national air defenses and military upscaling, partly due to the ongoing conflict between Israel and Hamas. \u201cThis trend is poised to continue, potentially benefiting South Korea\u2019s defense export sector,\u201d Choi said.<\/span><\/p>\n

\"\"

Models of South Korea\u2019s K9A1 self-propelled howitzer and the Chunmoo MLRS on display at Hanwha\u2019s booth at the Seoul ADEX, Oct. 16, 2023 | Image: Korea Pro<\/em><\/p><\/div>\n

NAVIGATING COMPLEXITIES IN DEFENSE EXPORTS<\/b><\/p>\n

While South Korea\u2019s defense market sees potential expansion in Europe and the Middle East, experts caution against overlooking inherent risks and challenges, from market saturation to diplomatic repercussions.<\/span><\/p>\n

\u201cNorthern European nations, with robust defense industries of their own, present a tough market,\u201d Sangji University\u2019s Choi told <\/span>Korea Pro<\/span><\/i>, highlighting the nuanced landscape in Europe that South Korea faces.<\/span><\/p>\n

The hurdles aren\u2019t solely about market penetration. Western European nations, like France and the U.K., largely self-sustain their military needs, diminishing their reliance on external sources.\u00a0<\/span><\/p>\n

However, Eastern European countries are more open to purchasing South Korean weapons and agreeing to technology transfers.\u00a0<\/span><\/p>\n

\u201cEastern Europe\u2019s traditional reliance on dated Soviet equipment and weaker industrial sectors opens doors for foreign defense solutions,\u201d Choi added.<\/span><\/p>\n

Turning to the Middle East, KIDA\u2019s Shin highlighted the region\u2019s geopolitical sensitivities. The region\u2019s intricate diplomatic ties, especially concerning arms imports, raise critical questions.<\/span><\/p>\n

\u201cThe UAE\u2019s procurement of the Cheongung series isn\u2019t just a commercial deal; it\u2019s a decision influenced by regional security dynamics and international relations,\u201d Shin told <\/span>Korea Pro<\/span><\/i>.<\/span><\/p>\n

For instance, the U.S. remains wary of advanced military technology transfers to this volatile region. \u201cNo one can predict how things will develop in the future for that region,\u201d Shin added, alluding to the geopolitical quagmire that South Korea must navigate in its defense export strategies.<\/span><\/p>\n

Jeongmin Kim contributed to this analysis.<\/span><\/i><\/p>\n

Edited by John Lee<\/span><\/i><\/p>\n

Business & Economy<\/span><\/a>Defense & Security<\/span><\/a>Inter-Korean & Foreign Relations<\/span><\/a><\/div>","protected":false},"excerpt":{"rendered":"

Seoul aims to rank as the fourth largest global arms exporter by 2027. This ambition, set against the backdrop of landmark deals with Poland and Middle Eastern nations, highlights South Korea\u2019s burgeoning defense sector. However, experts caution against overlooking inherent risks and challenges, from market saturation to diplomatic repercussions. The government and private sectors, including […]<\/p>\n","protected":false},"author":10407,"featured_media":2202548,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[21],"tags":[24,26,28],"class_list":["post-2202547","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","tag-business-economy","tag-defense-security","tag-inter-korean-foreign-relations"],"yoast_head":"\nWhy South Korea\u2019s arms export boom faces geopolitical hurdles - KOREA PRO<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/koreapro.org\/2023\/10\/why-south-koreas-arms-export-boom-faces-geopolitical-hurdles\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Why South Korea\u2019s arms export boom faces geopolitical hurdles - KOREA PRO\" \/>\n<meta property=\"og:description\" content=\"Seoul aims to rank as the fourth largest global arms exporter by 2027. 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