Hanwha is shifting from export contracts to bricks-and-mortar investment in Europe, starting construction of a new plant in Romania that is intended to assemble K9 self-propelled howitzers and related vehicles for regional customers. The facility is being developed as a long-term industrial base rather than a one-off delivery site, aligning Romania’s rearmament plans with Europe’s wider demand for artillery systems. Although production has not yet begun, the scale and structure of the project signal a shift toward local manufacturing and technology transfer within the European Union.
The new complex anchors Hanwha’s strategy of building a Strategic Industrial Footprint for Romania and Europe, tying Romanian industry into global supply chains for heavy armor and ammunition support vehicles. It also gives Bucharest a platform to move from buyer to co-producer of advanced artillery, with ambitions that reach beyond national needs to the broader European market.
Groundbreaking in Petrești and the scale of the complex
The plant is taking shape in Petrești, in Dâmbovița County, a location that places the project within reach of Romania’s main road and rail corridors while still offering space for a large industrial footprint. The choice of Petrești in Dâmbovița reflects a balance between access to skilled labor and the security considerations that come with hosting a major defense facility. For Romania, anchoring such a project outside the capital region spreads economic activity into a county that has long sought higher value-added industry.
Hanwha Aerospace has described the Romanian site as its first European production facility, designed for large-scale assembly and testing of armored systems. The complex will span 181,055 square meters, with advanced assembly lines, performance and validation testing facilities, and supporting infrastructure that can handle both current orders and future upgrades. By setting the project at this size, the company is signaling that Romania is not just a customer but a long-term base for European operations.
H-ACE Europe and the K9 and K10 production focus
At the heart of the new complex is H-ACE Europe, the entity that will coordinate manufacturing and integration for the artillery program. Hanwha Aerospace has framed H-ACE Europe as a Strategic Industrial Footprint for Romania and Europe, intended to give the country a structured role in the supply chain for K9 and related systems. The company has described H-ACE Europe as a regional hub, underscoring that it is not a simple assembly facility but a center capable of supporting upgrades, maintenance, and future variants.
In its first phase, H-ACE Europe will support the local production of the K9 Self-Propelled Howitzer and K10 Ammunition Resupply Vehicle, preparing the line for Romania’s own orders and potential follow-on demand from other European customers. Hanwha Aerospace has indicated that H-ACE Europe will expand production capacity over time, positioning the plant as a key node in meeting rising European artillery requirements. This focus on two linked platforms, the gun system and its ammunition resupply vehicle, allows the Romanian site to develop expertise across the full artillery chain rather than a single component.
Romania’s contract and ambitions for a European hub
The Romanian government has already committed to a major acquisition of K9 and K10 vehicles, which provides the industrial project with a guaranteed initial workload. Over the summer, a contract was signed with the Korean manufacturer to supply 54 K9 and K10 units from 2027, giving the new plant a clear baseline program around which to build workforce skills and local supplier networks. Those figures are significant for a country that is rebuilding its artillery forces and seeking to align more closely with NATO standards.
Romania has been explicit that it wants to become a European defence manufacturing hub, using projects like the K9 facility to move from import dependence to co-production and export. Reporting on the factory highlights that the project supports Romania’s ambition to become a European defense manufacturing hub, tying domestic plants into wider security objectives across the continent. With a confirmed order book and a partner willing to localize production, Bucharest is trying to lock in a role not just as a buyer of artillery but as a supplier to allies facing similar capability gaps.
Local industry participation, jobs, and long-term partnership
Hanwha Aerospace has repeatedly stressed that the Romanian plant is structured around local participation rather than simple kit assembly. The company has said that H-ACE Europe will initially support local production and then increase localization through Romanian industry participation, with the goal of delivering substantial economic benefits for Romania. In its own description, H-ACE Europe will gradually increase localization and industrial participation, signaling a phased approach from assembly to deeper manufacturing and technology transfer. That model is designed to bring Romanian suppliers into the program over time, creating a broader ecosystem around the Petrești site.
The company has also framed the project as an anchor for a long-term partnership with Romania that extends beyond a single procurement cycle. Hanwha Aerospace has stated that it is committed to working alongside Romania so that it can grow not only as a buyer, but as a producer, seller, and exporter of advanced defense equipment within the country and across Europe. The commitment outlined by Hanwha Aerospace highlights how both sides see the plant as a platform for future exports and industrial cooperation. If those plans hold, the Petrești facility could evolve from a national artillery project into a shared European asset for heavy ground systems.