Hanwha Aerospace wins Army unmanned ground vehicle deal: arms agency

An Arion-SMET unmanned ground vehicle / Courtesy of Hanwha Aerospace

Hanwha Aerospace has won the contract to supply unmanned ground vehicles (UGVs) to the Army, the arms procurement agency said Thursday, a move expected to speed up the military's high-tech modernization drive.

The Defense Acquisition Program Administration (DAPA) said a formal contract for the UGV platform, known as Arion-SMET, will be signed in the third quarter of this year.

The Arion-SMET is a multi-purpose, six-wheeled electric combat robot designed to support infantry operations and minimize casualty risks on the battlefield. The vehicles are expected to enter active service between 2027 and 2028.

The initial phase of the program is worth about 49.6 billion won ($33.5 million). The total project value could potentially rise to 500 billion won, depending on the Army's future procurement demand.

The program comes as part of the Army's broader initiative, known as "Army TIGER," aimed at modernizing its ground forces into a more agile fighting force based on artificial intelligence technology amid a fast-changing warfare environment and a decline in active-duty personnel.

DAPA had initially planned to finalize the procurement plan in June last year, but it has been delayed amid a dispute between Hanwha Aerospace and its competitor, Hyundai Rotem.

Hyundai Rotem opted out of the tender in March, citing what it called the arms agency's unfairness in the selection process that favored Hanwha.

DAPA said the bidding process was conducted in a fair and lawful manner in line with relevant regulations and procedures.

"The final selection was determined following a comprehensive review of the bidders' proposals, field test evaluations and performance verification outcomes," the agency said.

Hanwha said earlier it had completed DAPA's performance evaluation on key requirements, such as maximum speed and cruising range.