Peru agrees to acquire military technology from South Korea

On December 18, Peru and South Korea's Hyundai Rotem signed a groundbreaking defense agreement, marking a significant step in Peru's military modernization. The deal, valued at over $1.4 billion, will see the acquisition of 54 K2 main battle tanks and 141 K808 armored personnel carriers. This historic agreement, the first of its kind in Latin America, includes technological collaboration, financing options, and joint defense projects aimed at strengthening Peru's defense capabilities. With deliveries starting in 2026 and local assembly expected by 2029, the deal underscores Peru's commitment to enhancing its military to address its vast borders and evolving security needs.

On December 18, Peru signed a landmark defense agreement with South Korea's Hyundai Rotem, securing advanced military equipment, including state-of-the-art tanks and armored vehicles. This deal, potentially the largest land-defense sale in Latin America from South Korea, is valued at over $1.4 billion. The agreement includes 54 K2 main battle tanks and 141 K808 armored personnel carriers.

It is the first time South Korean military technology of this kind has been sold to the Latin American market. As per the Peruvian Ministry of Defense, the deal covers technological collaboration, financing options, and joint defense projects, all of which will support Peru's ongoing military modernization efforts.

Jorge Montoya, a former admiral and legislator, explained that defense ties between Peru and South Korea began a decade ago, primarily through interactions between Peruvian shipyards and Hyundai. While Peru had traditionally sourced military equipment from Germany for many years, after a thorough evaluation of costs and technologies, the country decided to partner with Hyundai Rotem. Montoya also mentioned previous collaboration on submarine development.

Montoya clarified that the goal of this partnership is not to match the defense spending of neighboring nations, many of which allocate much larger portions of their budgets to defense. Rather, it is about ensuring Perus defense capacity is suited to its own needs and national context. With Peru's defense budget at just 0.8% of its GDP, the lowest in the region, modernizing its military to address the vastness of its borders is essential.

Deliveries of the military equipment are expected to start in 2026, with local assembly possibly commencing in 2029. The plan also includes establishing joint industrial projects between Perus Army Weapons and Ammunition Factory and Hyundai Rotem.

Major General Jorge Arevalo, head of the Army's Logistics Command and a board member of the state-owned arms producer, confirmed that Hyundai Rotem will invest $270 million in a local assembly facility for the K2 tanks and armored vehicles.

Peru's Prime Minister Ernesto Alvarez highlighted that the country is boosting its military capabilities, particularly in terms of armored vehicles capable of transporting troops. The agreement also includes the replacement of outdated Soviet-era T-55 tanks with modern systems. Additionally, Alvarez mentioned the recent acquisition of three more UH-60 Black Hawk helicopters from the United States, completing a previous deal for a total of nine units.

Sources:

• Peru reaches agreement to acquire South Korean military technology

Author: Olivia Parker
Olivia Parker is a journalist and editor with over 8 years in media. She focuses on culture, arts, and social issues, skilled in feature writing and critical reviews.