{"id":2207192,"date":"2024-11-19T12:23:32","date_gmt":"2024-11-19T03:23:32","guid":{"rendered":"https:\/\/koreapro.org\/?p=2207192"},"modified":"2024-11-19T12:23:32","modified_gmt":"2024-11-19T03:23:32","slug":"trumps-return-forces-south-koreas-defense-industry-to-adapt-to-new-realities","status":"publish","type":"post","link":"https:\/\/koreapro.org\/2024\/11\/trumps-return-forces-south-koreas-defense-industry-to-adapt-to-new-realities\/","title":{"rendered":"Trump\u2019s return forces South Korea\u2019s defense industry to adapt to new realities"},"content":{"rendered":"
Donald Trump\u2019s impending return to the White House in January could drastically reshape the global defense industry, testing the adaptability of South Korea\u2019s burgeoning arms sector.<\/span><\/p>\n Trump\u2019s emphasis on burden-sharing among allies and an America First policy in defense procurement will create new opportunities but also challenges, leading to increases in global defense spending but also heightened competition in regions like Europe and the Middle East.<\/span><\/p>\n For South Korean defense firms, which have made significant inroads into global markets, adapting to the shifting dynamics will be crucial to sustaining growth.<\/span><\/p>\n EUROPE: OPPORTUNITIES AND COMPETITION<\/b><\/p>\n Trump\u2019s anticipated demand for NATO countries to increase defense budgets, potentially to 3% of GDP, could accelerate rearmament across Europe. Poland, a key buyer of South Korean K9 howitzers and Chunmoo rocket systems, may spend about <\/span>4.7% of its GDP<\/span><\/a> on defense \u2014 the highest in NATO \u2014 in 2025.<\/span><\/p>\n Poland\u2019s reliance on South Korean weapons stems from Warsaw\u2019s urgency to modernize its military. South Korea\u2019s ability to deliver weapons systems quickly \u2014 an edge over American and European suppliers facing supply chain issues \u2014 has been critical in securing deals.<\/span><\/p>\n For instance, Poland signed a <\/span>$15 billion contract<\/span><\/a> with Hanwha Defense in 2022 to procure hundreds of K9 howitzers, marking one of the largest arms deals in South Korea\u2019s history. The ROK demonstrated rapid delivery capabilities when Hanwha Aerospace <\/span>delivered<\/span><\/a> the first batch of 24 K9A1 howitzers to Poland in Dec. 2022, just months after the contract was finalized.<\/span><\/p>\n With ongoing concerns over Russian aggression, Eastern European nations like <\/span>Estonia and Romania<\/span><\/a> have also shown interest in South Korean arms, citing their cost-effectiveness and compatibility with NATO standards.<\/span><\/p>\n More broadly, countries like the Czech Republic and Slovakia are exploring procurement options too. South Korea\u2019s ability to remain agile and offer tailored solutions will thus be critical in retaining its global market share.<\/span><\/p>\n However, Europe\u2019s push for strategic autonomy poses a threat to South Korea\u2019s foothold. French President Emmanuel Macron called for <\/span>reducing reliance on non-European suppliers<\/span><\/a> in April, emphasizing the need for an independent European defense industry.<\/span><\/p>\n France and Germany are scaling up production, with the Franco-German defense conglomerate KNDS rolling out a <\/span>new version of its Leopard 2 tank<\/span><\/a> in June, highlighting the competitive challenges South Korea faces.<\/span><\/p>\n