Hyundai Rotem to acquire Hyundai Wia's defense unit for $252 mil.
Hyundai Rotem, a defense affiliate of Hyundai Motor Group, said Monday it will acquire Hyundai Wia's defense business for 358.4 billion won ($252 million) to strengthen its weapons production capabilities. Hyundai Rotem said in a regulatory filing that it plans to acquire Hyundai Wia's defense business, which manufactures key components for Korea's K9 self-propelled howitzers and K2 main battle…
Hyundai Rotem, a defense subsidiary of Hyundai Motor Group, has announced the acquisition of Hyundai Wia's defense business for a sum of 358.4 billion won, equivalent to $252 million. This acquisition aims to bolster Hyundai Rotem's weapons production capabilities. According to a regulatory filing, the target company manufactures crucial components for Korea's K9 self-propelled howitzers and K2 main battle tanks.
By integrating Hyundai Wia's defense business into its operations, Hyundai Rotem intends to enhance its competitiveness in the global market, particularly concerning its flagship K2 tanks.
In August 2025, Hyundai Rotem sealed a $6.5 billion contract to supply K2 tanks to Poland. Five months later, the company secured a comprehensive agreement with Peru to provide 195 ground weapons systems, which include 54 K2 tanks. For Hyundai Wia, this sale forms part of a strategic restructuring process aimed at shifting its focus towards future mobility technologies, such as vehicle electrification and software-defined vehicles (SDVs).
The funds generated from the sale will be utilized by Hyundai Wia for investments in new growth sectors.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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