Hanwha Aerospace, the aircraft manufacturing division of the Korean conglomerate Hanwha, has sealed a 940 billion won ($640 million) deal to produce parts for the medium-range surface-to-air missile defense system Cheongung-II to be exported to Saudi Arabia, according to the firm's public disclosure on Thursday.
Two contracts were signed by Hanwha Aerospace and LIG Nex1 -- the assembler of Cheongung-II -- on Tuesday, under which Hanwha Aerospace will supply LIG Nex1 with components for missile projectiles, launch tubes and launchers.
This offering is part of a $3.2 billion project LIG Nex1 undertook to export the hit-to-kill missile system to Saudi Arabia.
Another contractor for Cheongung-II parts, Hanwha’s radar-making affiliate Hanwha Systems, signed a 1.2 trillion won contract with LIG Nex1 in July to supply multi-function radars for the Saudi Arabian export.
Developed through collaboration among the three companies and the state-run Agency for Defense Development, the missile system can intercept incoming missiles at altitudes of up to 40 kilometers, traveling at speeds of up to Mach 5, or approximately 1.7 kilometers per second, offering protection against artillery and aircraft threats.
In addition to being a key component of Korea’s air defense system, the Cheongung-II is also a major export item for the country’s defense industry, having been sold to the United Arab Emirates and Iraq for 3.7 trillion won each.
