Hanwha Systems and Hyundai Rotem are competing to be selected as the contractor for the active protection system (APS) to be mounted on the military's main battle tank, the K2. An APS is a weapons systems that detects enemy anti-tank missiles or drones and intercepts them in the air. Its importance has come to the fore since the outbreak of the Russia-Ukraine war in 2022.
According to the military authorities and the defense industry on the 3rd, the K2 tank performance upgrade project will begin next year. The Joint Chiefs of Staff (JCS) finalized the requirement (the procedure to determine whether a weapons systems is needed before introduction) in Apr. and reflected it in the budget proposal for next year. The military plans to complete system development and test evaluation from 2028 to 2031 and field the system starting in 2032.
Through the performance upgrade project, the military plans to add several features such as a 360-degree battlefield situational awareness device and a remote-controlled weapon station (RCWS), with the APS expected to be the centerpiece. About 85% of the tanks currently operated by the military—around 1,600—do not have an APS installed.
◇ Hanwha Systems and Hyundai Rotem compete to be selected as APS contractor
In Korea, two corporations—Hanwha Systems and Hyundai Rotem—are developing APSs.
Hanwha Systems has been developing a domestic APS since 2023. The company also won a 38.9 billion won intelligent active protection technology development project from the Korea Research Institute for defense Technology planning and advancement (KRIT). This APS is being developed using a blast-pressure munition method similar to Iron Fist. It neutralizes incoming anti-tank rockets and missiles by using the explosion and blast pressure of protective rockets.
Hanwha Systems is currently conducting live-fire tests of the APS. The goal had been to complete development in Oct., but it is expected to take about a month longer. Hanwha Systems plans to finish development within the year and then compete in the full-scale APS system development project to be conducted alongside the K2 tank performance upgrade.
Hyundai Rotem is developing an APS in collaboration with Israel's defense company Rafael. Rafael developed Trophy, an APS adopted by numerous European countries including the United Kingdom and Germany. Trophy is an APS that directly strikes anti-tank missile threats. Hyundai Rotem's APS also uses a direct-strike method.
In particular, Hyundai Rotem's APS is being developed based on the core technology of Trophy. Hyundai Rotem plans to create a new Korean-style APS by receiving a transfer of Trophy technology from Rafael. By increasing the localization rate, the system is being developed to defend against anti-tank high-explosive rounds and respond to small and loitering drones.
Hyundai Rotem began development in Sept. last year after deciding to mount Trophy on the Polish K2 tank, the K2PL. While the K2PL will carry Rafael's Trophy, the K2 tanks for the military will be equipped with the newly developed APS. A total of 12.4 billion won has been invested in Hyundai Rotem's APS development project, including 6.2 billion won in government support.
◇ Hanwha aims for 100% localization, Hyundai focuses on performance validation
Hanwha Systems' APS is built entirely with domestic technology, including hardware, software, and ballistic algorithms. As a result, it faces no restrictions not only on exports but also on modifications, development, and maintenance. However, because the product is still under development, a drawback is that its performance has not yet been validated.
The biggest advantage of Hyundai Rotem's APS is that performance verification is already largely complete. Trophy is a global best seller in the APS field, adopted by the British and German militaries, and it has been used in numerous battlefields, including the Israel conflict and the Ukraine war.
However, there may be additional expenses due to the use of foreign technology. Although there are no operating costs because Hyundai Rotem signed an agreement with Rafael for Hyundai Rotem to take charge of performance verification and maintenance directly, license fees could arise in cases such as delivery to the military. A Hyundai Rotem official said, "(Licenses, etc.) require additional negotiations. Nothing has been finalized."
Meanwhile, some in domestic politics and the defense industry have recently called for localizing APS. That is because Israel, the leader in APS technology, has increasingly failed to meet delivery schedules as it becomes embroiled in multiple military conflicts, including its recent war with Iran.
In fact, some countries have abandoned plans to introduce Israeli APS. The Spanish Army selected Israel's Elbit Systems last year as the supplier of APS to be mounted on its armored vehicles, but it recently shifted to Germany's Rheinmetall. Elbit Systems' slow production pace was cited as the reason for the change.
Although the APS currently being developed by Hyundai Rotem is expected to be produced at domestic factories, it has not yet been finalized. Hyundai Rotem said, "We are continuously increasing the localization rate," and added, "We are reviewing ways to reduce mass production prices, and in the full-scale mass production phase, we will secure price competitiveness."
The Defense Acquisition Program Administration is currently drawing up a plan to push forward the K2 tank performance upgrade project. If the budget proposal is finalized, it plans to complete a feasibility study early next year and calculate the project cost, and the APS contractor is expected to be finally selected around that time. A Defense Acquisition Program Administration official said, "We will make the best choice to help military capabilities at the time of introduction."