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Agency for Defense Development

The Agency for Defense Development (ADD; Korean: 국방과학연구소) is South Korea's national government agency responsible for research, development, and acquisition of defense technologies to bolster self-reliant military capabilities.^[1]^[2] Established in August 1970 under the Ministry of National Defense, ADD serves as the central institute for weapons R&D, encompassing domains such as missiles, aerospace, maritime and underwater systems, surveillance, and electronics.^[3]^[4] Headquartered in Daejeon, the agency operates multiple research centers and has developed 303 weapon systems since its founding, with 146 adopted for use by the South Korean military, including pioneering ballistic missile programs like the Nike Hercules Korea-1.^[1]^[5] These efforts have generated approximately 697 trillion South Korean won in economic value through defense R&D, facilitating technological localization, industry collaboration, and standardization that have transformed South Korea into a major defense exporter.^[5]^[4] Funded primarily by the Defense Acquisition Program Administration, ADD continues to drive advancements in national defense amid ongoing geopolitical tensions on the Korean Peninsula.^[2]

Overview and Mandate

Establishment and Legal Basis

The Agency for Defense Development (ADD) was established in August 1970 as South Korea's primary national institution for research and development in defense technologies, driven by President Park Chung-hee's policy of achieving self-reliant national defense amid geopolitical tensions on the Korean Peninsula.^[3]^[2] This initiative aimed to reduce dependence on foreign arms imports by fostering indigenous capabilities in weapons systems and military technologies.^[6] The legal foundation for ADD is provided by the Act on the Agency for Defense Development, enacted on December 31, 1970, as Act No. 2258, which formalized its structure, objectives, and operations under the supervision of the Ministry of National Defense.^[7] The act stipulates that ADD is duly established upon completion of its registration and outlines its mandate to conduct R&D for defense purposes, emphasizing autonomy in high-risk technological domains not viable for private sector involvement.^[7] Subsequent amendments, such as Act No. 2391 in 1972 and later revisions, have refined its governance and expanded its scope to align with evolving national security needs.^[7] ADD operates as a government-funded agency, distinct from commercial entities, to prioritize strategic imperatives over profit motives, ensuring focused advancement in core defense innovations.^[8] This framework has positioned ADD as the central hub for South Korea's defense R&D ecosystem since its inception.^[9]

Core Objectives and Strategic Role

The Agency for Defense Development (ADD) operates under a statutory mandate to reinforce South Korea's national defense power and achieve self-reliance in defense capabilities through systematic research, development, and operational support. Enacted via the Act on the Agency for Defense Development, this framework positions ADD as the sole national entity dedicated to defense technology R&D, encompassing planning, execution, testing, and evaluation of projects aligned with military requirements.^[7] Its core objectives include developing indigenous weapons systems, enhancing operational effectiveness against regional threats, and reducing dependence on foreign suppliers, thereby bolstering deterrence on the Korean Peninsula.^[1] Strategically, ADD functions as the nexus for integrating defense R&D with national innovation ecosystems, prioritizing core technology projects that address gaps in areas such as missiles, electronics, and materials science. It coordinates government-commissioned initiatives, often allocating resources—totaling over 65 trillion won in cumulative investments by 2025—to yield advancements that spill over into civilian sectors, generating an estimated 697 trillion won in economic value through patents, exports, and industry growth.^[10] ^[5] This role extends to fostering domestic defense firms via technology transfers, enabling South Korea's emergence as a net exporter of systems like howitzers and surveillance aircraft, with defense exports reaching record highs in recent years.^[6] In practice, ADD's strategic emphasis on self-reliance counters historical vulnerabilities exposed by arms embargoes and geopolitical pressures, driving R&D toward high-impact domains like precision-guided munitions and cyber defense integration. By 2025, this has supported South Korea's Defense Innovation 4.0 agenda, incorporating AI and dual-use technologies to maintain technological parity with adversaries while minimizing external risks.^[11] Its governance under the Ministry of National Defense ensures alignment with broader alliance commitments, such as interoperability with U.S. forces, without compromising autonomous development goals.^[2]

Historical Evolution

Founding Era (1970-1980s)

The Agency for Defense Development (ADD) was established in August 1970 in Seoul as South Korea's central institute for weapons research and development, initiated under President Park Chung-hee's policy of self-reliant national defense to counter North Korean threats and address limitations in U.S. arms supplies.^[3]^[6] Its foundational mandate encompassed technical surveys, R&D, testing, and evaluation of defense technologies to build indigenous capabilities and support national security.^[6] Early activities emphasized source technology development for domestically produced weapons, exemplified by prototypes inspected by Park at a military equipment exhibition on April 3, 1972.^[12] Supporting legislative measures in the mid-1970s reinforced ADD's integration with industrial growth, including the Special Law on the Defense Industry in 1973, which provided incentives like financing exemptions and draft deferrals for defense workers; the Force Improvement Plan in 1974; and the Defense Tax Law in 1975.^[13] ADD conducted primary R&D for weapon systems, overseeing prototype production by private firms while dominating design and testing processes.^[13] Infrastructure expansions included relocation to dedicated R&D facilities in Taejon and Chin-Hae in January 1977, followed by activation of an 817-acre testing range at Anheung in 1978.^[14] Into the 1980s, ADD advanced self-reliance through coproduction initiatives involving technology transfer, such as assembly of F-5E/F fighter aircraft and M167A1 Vulcan anti-aircraft guns using U.S. components, which enhanced domestic manufacturing expertise and contributed to rising defense exports reaching $182 million by 1989.^[13] These efforts solidified ADD's role as the nexus for technological transformation in South Korea's defense sector, transitioning from import dependence to indigenous innovation despite political shifts following Park's 1979 assassination.^[6]

Expansion and Maturation (1990s-2000s)

During the 1990s, the Agency for Defense Development (ADD) advanced toward greater technological independence, focusing on indigenous missile systems amid U.S. Missile Technology Control Regime constraints that had previously limited South Korean programs. Development of the Hyunmoo-2A short-range ballistic missile, an upgraded variant of the earlier NHK-2 with improved accuracy and a range exceeding 300 kilometers, began in the mid-to-late 1990s under ADD's 4th Research Institute.^[15] Concurrently, ADD initiated work on the Hyunmoo-3 family of supersonic cruise missiles, with early prototypes emphasizing terrain-following navigation and precision strikes, marking a shift from reliance on imported technologies to domestic precision-guided capabilities.^[16] ADD's maturation extended to armored vehicle R&D, where it led the conceptual design for the next-generation K2 main battle tank starting in the mid-1990s through the XK2 prototype program, incorporating advanced composite armor, active protection systems, and autoloader mechanisms to address terrain-specific mobility needs in the Korean Peninsula.^[17] This effort built on prior K1 tank upgrades, enhancing ADD's expertise in systems integration and fire control, with prototypes tested by the early 2000s. The agency also supported aerospace advancements, contributing foundational research to the T-50 Golden Eagle advanced trainer, whose development accelerated in the late 1990s following the KTX-1 demonstrator's first flight in 1991.^[18] Organizational growth paralleled these projects, as ADD expanded its research infrastructure and personnel amid rising defense budgets, establishing specialized centers for electronics and propulsion by the decade's end to foster interdisciplinary collaboration with universities and industry partners.^[19] By the early 2000s, ADD oversaw deployment of initial Hyunmoo-2 variants and progressed K2 prototyping, solidifying its role in transitioning prototypes to mass production via contractors like Hanwha and Hyundai Rotem, while emphasizing high-tech domains like guidance and materials science. This period reflected ADD's evolution from reactive development to proactive innovation, driven by national self-reliance policies post-Cold War.^[13]

Contemporary Developments (2010s-Present)

During the 2010s, the Agency for Defense Development prioritized enhancements to South Korea's missile capabilities amid heightened North Korean missile tests and nuclear advancements, focusing on extending ranges and improving precision for ballistic systems like the Hyunmoo-2C variant, which underwent successful test flights and achieved operational readiness around 2018 with a range exceeding 500 kilometers.^[20] This period also saw ADD initiate stealth unmanned aerial vehicle projects, including collaboration on early stealth drone prototypes tested in partnership with Korean Air starting in 2010, aimed at multi-role reconnaissance and strike missions.^[21] In the 2020s, ADD accelerated development of next-generation munitions to maintain deterrence, culminating in the Hyunmoo-5, a large-caliber ground-launched ballistic missile designed for bunker penetration with an 8-ton conventional warhead capable of destroying deeply buried North Korean facilities; mass production commenced in October 2025, with full deployment targeted for December of that year following secretive R&D in collaboration with Hanwha Aerospace.^[22] ^[23] ADD further advanced naval strike options through the Haeseong-5 supersonic anti-ship missile, a homegrown system analogous to advanced foreign counterparts, integrated into the Republic of Korea Navy's latest KSS-III Batch-II submarines launched in 2025 for enhanced underwater deterrence against regional threats.^[24] ADD's efforts extended to unmanned and space domains, completing a medium-altitude long-endurance UAV by 2022 for persistent surveillance and supporting the operationalization of the ANASIS-II military communications satellite launched in July 2020 to bolster command-and-control resilience.^[25] These initiatives reflect ADD's strategic shift toward integrated, high-tech systems for asymmetric threats, including early work on air-launched ballistic missiles and ship-launched variants initiated in 2024 with projected fielding by 2028.^[26]

Organizational Structure

Leadership and Governance

The Agency for Defense Development (ADD) is supervised by the Minister of National Defense, who approves its business plans and budgets.^[7] It functions as a central executive agency focused on defense research and development, with its operations aligned to national defense priorities under the broader framework of the Ministry of National Defense and the Defense Acquisition Program Administration (DAPA), which oversees acquisition-related aspects including supervision of ADD's R&D activities.^[27]^[7] Leadership is headed by a president appointed by the President of the Republic of Korea on the recommendation of the Minister of National Defense, serving a fixed term of three years.^[7] The president represents the agency externally and directs its internal supervision of employees and operations. As of 2025, Park Jong-seung serves as president.^[28] Governance includes a Board of Directors to deliberate key matters such as policy and strategy, comprising up to 15 members—predominantly non-standing—with a designated chairperson and vice-chairperson as prescribed by presidential decree.^[7] An independent auditor, elected by the board and subject to ministerial approval, conducts oversight of agency activities and assets to ensure accountability.^[7] Employees hold status equivalent to state public officials, managed in accordance with the agency's articles of incorporation.^[7]

Research Institutes and Divisions

The Agency for Defense Development (ADD) structures its research and development activities primarily through six specialized systems centers overseen by vice presidents, along with a dedicated test and R&D support center, enabling focused innovation in defense technologies.^[29] These centers are headquartered mainly in Taejon (now Daejeon), with additional facilities in Chin-Hae for naval-focused work, reflecting ADD's emphasis on domain-specific expertise to address national security needs.^[29] The Ground Weapons Systems Center, located in Taejon, concentrates on developing and enhancing ground-based weaponry, including armored vehicles, artillery, and infantry support systems to bolster land force capabilities.^[29] Complementing this, the Naval Weapons Systems Center in Chin-Hae specializes in maritime technologies, such as shipboard armaments, underwater systems, and anti-submarine warfare tools, supporting the Republic of Korea Navy's operational requirements.^[29] Aerial defense advancements fall under the Aircraft Systems Center in Taejon, which pursues research into fixed-wing and rotary-wing platforms, avionics, and related propulsion technologies for air superiority and reconnaissance missions.^[29] The Missiles Systems Center, also in Taejon, drives precision-guided munitions and ballistic missile programs, encompassing guidance systems, propulsion, and warhead integration to counter regional threats.^[29] The Communication and Electronics Systems Center in Taejon targets command, control, communications, computers, intelligence, surveillance, and reconnaissance (C4ISR) technologies, including electronic warfare, radar, and secure networks essential for integrated battlefield operations.^[29] For forward-looking efforts, the Advanced Technology Systems Center in Taejon explores emerging domains like materials science, stealth technologies, and high-energy systems, aiming to maintain technological edges in non-traditional warfare areas.^[29] Supporting these institutes, the Test and R&D Support Center facilitates evaluation protocols, prototyping, and logistical backing across all centers, utilizing facilities such as the 817-acre Anheung testing site operational since 1978 for live-fire trials and system validations.^[29] This divisional framework, comprising approximately 1,736 researchers as of the early 1990s, underscores ADD's commitment to self-reliant defense R&D, with ongoing adaptations to incorporate modern priorities like unmanned systems and cyber defenses.^[29]

Facilities and Operational Infrastructure

The Agency for Defense Development (ADD) operates its core facilities within the Daedeok INNOPOLIS research hub in Daejeon, South Korea, a designated national center for advanced R&D activities. The headquarters is situated at 160 Bugyuseong-daero 488beon-gil, Yuseong-gu, Daejeon, encompassing specialized laboratories, administrative structures, and support infrastructure for defense technology development.^[1] This centralized location enables integrated operations across research, prototyping, and evaluation phases, leveraging proximity to other government-funded institutes for interdisciplinary collaboration.^[30] ADD maintains six principal R&D institutes, each dedicated to distinct domains, all housed within the Daejeon complex. The 1st R&D Institute, focused on precision-guided munitions, ground systems, and related testing, operates from facilities including P.O. Box 35, Yuseong-gu, Daejeon, equipped for vibration isolation, wind tunnel simulations, and structural evaluations.^[31]^[32] The 2nd R&D Institute handles missile technologies, information fusion, software, and network systems, supporting C4I (command, control, communications, computers, intelligence) development through dedicated labs.^[33] Subsequent institutes cover air and unmanned systems (3rd), electronics and combat simulations (4th and 5th), and naval technologies (6th), with shared infrastructure for prototyping and data analysis.^[33] Operational infrastructure includes mandated testing facilities, systems, and evaluation sites for weapons R&D, as stipulated under South Korean law, enabling in-house validation of prototypes from conceptual design to operational deployment.^[7] These encompass wind tunnels for aerodynamic testing, non-destructive evaluation labs, and simulation environments for autonomous systems and stealth technologies.^[34]^[35] In April 2024, the Defense AI Center was inaugurated within ADD's Daejeon facilities to centralize AI-driven defense R&D, integrating computational resources for emerging technologies like unmanned swarm operations and predictive analytics.^[36] This infrastructure supports ADD's role in national defense acquisition, including test and evaluation protocols that ensure indigenous systems meet reliability standards before integration into Republic of Korea armed forces inventories.^[2] The Daejeon site's strategic positioning minimizes logistical dependencies, facilitating rapid iteration in high-security environments while adhering to export control and technology security protocols.^[37]

Research and Development Domains

Ground and Infantry Systems

The Agency for Defense Development (ADD) leads the indigenous development of ground combat vehicles and artillery systems to enhance South Korea's mechanized infantry and armored warfare capabilities, reducing reliance on foreign imports through integration of domestic technologies with select licensed foreign components. Key efforts include main battle tanks equipped with advanced fire control and active protection systems, self-propelled howitzers for rapid artillery support, and modernization of infantry fighting vehicles to improve troop mobility and survivability in contested environments. These programs emphasize high mobility, precision targeting, and network-centric warfare integration, with development budgets allocated under South Korea's defense self-reliance policy since the 1970s.^[38]^[39] A flagship project is the K2 Black Panther main battle tank, designed as a next-generation platform surpassing the earlier K1 series in armor, firepower, and automation. ADD initiated conceptual studies in the 1990s, with full-scale development starting in 2003 at a cost exceeding $230 million, incorporating indigenous subsystems like the auto-tracking fire control system alongside licensed elements such as the German-origin 120 mm smoothbore gun. Prototypes, designated XK2, emerged in 2007, culminating in low-rate initial production by 2011 and full operational capability for the Republic of Korea Army in 2014, with over 260 units delivered by 2020. The tank features a 1,500 horsepower engine for speeds up to 70 km/h, composite-reactive armor, and an active protection system against anti-tank threats.^[38] In self-propelled artillery, ADD co-developed the K9 Thunder 155 mm howitzer with Hanwha (formerly Samsung Techwin), achieving full indigenization of core technologies by the late 1990s. Initiated in the 1980s to meet requirements for a tracked, automated gun system with a 40 km range using extended-range munitions, the K9 entered service in 1999 after successful trials, with production exceeding 1,000 units for domestic use and exports to allies like Australia and Poland. It supports burst fire rates of six rounds per minute and integrates with digital fire direction systems for precision strikes, demonstrating South Korea's artillery export competitiveness with over 1,700 systems sold internationally by 2023. Recent upgrades, including the K9A1 variant, incorporate improved hydraulics and compatibility with precision-guided shells.^[39] For infantry systems, ADD developed the K2 assault rifle in the early 1980s as a replacement for imported M16 variants, blending short-stroke gas piston operation derived from AK designs with AR-15-style ergonomics and controls for enhanced reliability in harsh climates. Chambered in 5.56×45 mm NATO, the rifle weighs 3.26 kg unloaded, features a 30-round magazine, and achieves an effective range of 400 meters, with adoption by the Republic of Korea Army in 1987 following rigorous field tests. Over 600,000 units have been produced, supporting modular attachments for optics and suppressors, and variants like the K2C with polymer components for weight reduction. This effort marked a milestone in domestic small arms production, minimizing logistical dependencies.^[40]

Missile and Precision-Guided Munitions

The Agency for Defense Development (ADD) leads South Korea's research and development of indigenous missile systems, focusing on ballistic, cruise, and anti-ship variants to enhance deterrence against regional threats. Early efforts in the 1970s involved modifying imported technologies, such as adapting the U.S. Nike Hercules into the NHK-1 (Korea-1) surface-to-air missile, laying groundwork for domestic production capabilities. By the 1980s and 1990s, ADD advanced short-range ballistic missiles under the Hyunmoo series, with the Hyunmoo-2A achieving operational status around 2000, featuring a 300 km range and inertial guidance for precision strikes. Subsequent variants, including Hyunmoo-2B (500 km range) and Hyunmoo-2C (800 km range with improved accuracy), incorporate solid-fuel propulsion and maneuverable reentry vehicles to evade defenses, forming core elements of South Korea's preemptive "Kill Chain" strategy.^[41] ADD's cruise missile programs include the Hyunmoo-3 series, with the Hyunmoo-3C land-attack variant offering over 1,500 km range, turbofan propulsion, and terrain-following navigation for low-altitude penetration. Anti-ship developments feature the Hyunmoo-3C VI (supersonic) and Hyunmoo-4, integrated into naval platforms for extended standoff capabilities. In 2024, ADD unveiled the Hyunmoo-5, a heavy penetrating ballistic missile with an 8-tonne warhead designed for bunker destruction, developed in collaboration with Hanwha Aerospace under heightened secrecy amid North Korean provocations; mass production began in 2025, with deployment slated for December. These systems adhere to Missile Technology Control Regime guidelines but leverage revised bilateral agreements with the U.S. to extend ranges beyond 800 km.^[42]^[23] In precision-guided munitions, ADD has prioritized converting unguided ordnance into standoff weapons, including glide bomb kits and guided submunitions. The Korean GPS-Guided Bomb (KGGB), a 500-pound class kit for Mk-82 bombs, integrates GPS/INS guidance with pop-out wings for 70+ km range and fire-and-forget operation, developed jointly with LIG Nex1 for integration on F-16 and FA-50 aircraft. ADD also engineered compact high-power thermal batteries in 2022 to enable reliable guidance electronics in smart bombs, addressing power constraints in compact PGMs for extended loiter times and precision targeting. These efforts support air-to-surface roles, with KGGB exports demonstrating interoperability and combat-proven accuracy in allied operations.^[43]^[44]

Air and Unmanned Aerial Vehicle Technologies

The Agency for Defense Development (ADD) prioritizes research into unmanned aerial vehicle (UAV) systems for reconnaissance, strike, and collaborative operations, often partnering with entities like Korea Aerospace Industries (KAI) and Korean Air to integrate core technologies into operational platforms. These efforts emphasize stealth, autonomy, and manned-unmanned teaming to address South Korea's strategic needs amid regional threats, focusing on indigenous capabilities in high-risk aeronautical domains.^[45]^[46] ADD spearheaded the RQ-101 Songgolmae, South Korea's first domestically developed UAV, in collaboration with KAI. Initiated in the late 1990s, the project achieved its first flight in 2000, with the system entering South Korean Army service by 2002 for corps-level intelligence, surveillance, and reconnaissance missions. The fixed-wing RQ-101 offers a 200-kilometer range, 45-kilogram payload capacity, and support for aerial photography and real-time data relay, marking a foundational step in reducing reliance on imported UAVs.^[47]^[48] Advancing toward next-generation systems, ADD launched the Low Observable Wingman UAV System (LOWUS) in September 2022 with Korean Air, targeting stealthy collaborative combat aircraft for manned-unmanned teaming. LOWUS enables one manned fighter to direct three to four low-observable UAVs in synchronized strikes and reconnaissance, with the Block 1 prototype delivered to ADD for ground testing in October 2025 ahead of maiden flights. This squadron-scale project builds on ADD's expertise in sensor fusion and autonomous navigation to enhance air superiority.^[46]^[49]^[50] ADD has also co-developed medium strike UAVs and loitering munitions with Korean Air, culminating in a prototype unveiled at the Seoul ADEX 2025 exhibition for precision loitering and extended-range attacks. Complementing these, ADD engineered a drone obstacle-avoidance system using sensors and algorithms for real-time evasion, tested for military UAVs and adaptable to air taxi operations as of 2023. These initiatives underscore ADD's role in prototyping resilient, export-potential aeronautical technologies amid evolving aerial warfare dynamics.^[51]^[52]^[53]

Naval and Underwater Systems

The Agency for Defense Development (ADD) spearheads research into advanced torpedoes, unmanned underwater vehicles, and submarine propulsion technologies to bolster South Korea's underwater warfare capabilities. These efforts focus on indigenous systems that enhance stealth, endurance, and lethality against submarine and surface threats, contributing to the Republic of Korea Navy's (ROKN) operational superiority in contested maritime domains.^[54] ADD's torpedo programs include the development of a supercavitating torpedo, unveiled at the MADEX 2025 exhibition, which employs supercavitation principles to achieve ultra-high underwater speeds and evade enemy ship defenses such as decoys and sonar nets. The project aims to produce a weapon capable of rapidly neutralizing high-value surface targets, marking a strategic advancement in South Korea's anti-surface warfare arsenal. Earlier, ADD completed the White Shark (XK731) heavyweight torpedo by mid-1998, providing a foundational indigenous capability for ROKN submarines with improved range and guidance over imported systems.^[54]^[55] In unmanned systems, ADD directs the Anti-Submarine Warfare Unmanned Underwater Vehicle (ASWUUV) project, designed for autonomous detection and engagement of hostile submarines. The ASWUUV, measuring 6.5 meters in length and weighing 9 tons, operates at speeds of 3 to 10 knots using high-capacity fuel cells for extended missions; it successfully completed an operational demonstration in July 2022 off the coast of Tongyeong, showcasing independent navigation, active sonar search, and anti-submarine targeting. This vehicle integrates with ROKN surface and submarine platforms to expand underwater surveillance and strike options without risking manned assets.^[56]^[57] ADD has also pioneered submarine air-independent propulsion (AIP) technologies, developing a methanol reforming system that generates high-purity hydrogen from methanol and water, thereby extending underwater operational durations beyond traditional diesel-electric limits. This innovation supports the KSS-III (Dosan Ahn Changho-class) submarines, which incorporate indigenous combat systems and AIP for enhanced stealth in littoral environments; a prototype methanol reforming plant was delivered to ADD for testing in November 2021. These advancements enable the ROKN's 3,000- to 3,600-ton submarines to conduct prolonged patrols and ballistic missile launches, as demonstrated in recent Batch-II vessels like the ROKS Jang Yeong-sil launched on October 22, 2025.^[58]^[59]^[60]

Surveillance, Reconnaissance, and C4ISR

The Agency for Defense Development (ADD) has prioritized indigenous development of intelligence, surveillance, and reconnaissance (ISR) capabilities to enhance South Korea's defense posture against regional threats, particularly from North Korea. Key efforts include unmanned aerial vehicles (UAVs) designed for persistent monitoring and real-time data collection. The Medium-altitude Unmanned Aerial Vehicle (MUAV), also known as KUS-FS, was initiated by ADD in 2008 to provide extended-endurance ISR missions, with development completed in 2022 and mass production commencing in 2024 by Korean Air Aerospace Division.^[61] ^[62] This platform features a 12-hour endurance, satellite communication links, and electro-optical/infrared sensors, enabling corps-level reconnaissance over contested areas.^[61] In radar and sensor technologies, ADD has advanced ground-based surveillance systems for air and drone threat detection. In April 2025, ADD successfully tested an artificial intelligence-integrated radar capable of identifying small drones at distances of several kilometers, improving low-altitude surveillance amid rising UAV proliferation.^[63] Complementing this, ADD awarded Hanwha Systems a KRW 131.5 billion contract in 2025 to develop a multi-function radar for the Low-Altitude Missile Defense (LAMD) system, which integrates surveillance, tracking, and fire control for countering cruise missiles and drones.^[64] ADD also demonstrated AI-based photonic radar technology in April 2025 at the Sejong Electronic Test Site, leveraging light-based signal processing for enhanced resolution and resistance to electronic jamming in C4ISR networks.^[65] ADD's C4ISR contributions extend to integrated command and control frameworks, supporting data fusion from UAVs, radars, and emerging sensors to enable rapid decision-making. These systems emphasize self-reliance, reducing dependence on foreign imports, with ongoing projects like collaborative combat UAVs under LOWUS delivered to ADD for testing in 2025 to augment manned-unmanned teaming in reconnaissance roles.^[49] Such developments have bolstered South Korea's kill chain operations, providing verifiable improvements in detection ranges and response times as evidenced by operational trials.^[65]

Space and Emerging Frontier Technologies

The Agency for Defense Development (ADD) operates South Korea's ANASIS-II military communications satellite, launched on July 20, 2020, aboard a SpaceX Falcon 9 rocket to provide secure, high-capacity data links for joint military operations across land, sea, and air domains.^[66]^[67] This geostationary asset, built on the Eurostar-3000 platform by Airbus Defence and Space, enhances command-and-control resilience against electronic warfare threats and supports real-time tactical communications in contested environments.^[66] In emerging frontier technologies, ADD leads the Hycore hypersonic cruise missile program, initiated in 2018 in collaboration with Hanwha Aerospace, achieving a successful flight test of its scramjet-powered demonstrator in early 2025 that validated sustained hypersonic speeds exceeding Mach 5.^[68]^[69] The system integrates advanced scramjet propulsion and maneuverable airframes to evade missile defenses, with full operational deployment targeted for the late 2020s to counter regional hypersonic threats from North Korea.^[70] ADD has developed directed-energy weapons, including the Block 1 fiber-optic laser system for countering unmanned aerial threats, with a project budget of 87.1 billion won ($63 million) allocated since August 2019.^[71] The system, demonstrated to achieve outputs sufficient for engaging small drones at ranges up to several kilometers, entered initial deployment phases in 2024, prioritizing cost-effective interception over kinetic munitions.^[72] Further advancements include the Cheongwang laser, initiated in the early 2020s, designed for integrated air defense against low-altitude threats.^[73] In artificial intelligence applications, ADD established the Defense AI Center in Daejeon on April 1, 2024, to accelerate AI integration into battlefield systems, including autonomous decision-making and predictive analytics for C4ISR operations.^[74] Agency priorities emphasize AI-driven autonomous systems to address manpower shortages and enhance lethality, as articulated by ADD's chief technology officer.^[75] ADD also demonstrated AI-enhanced photonic radar technology in April 2025 at the Sejong Electronic Test Site, leveraging photonics for superior resolution and jamming resistance in surveillance and targeting.^[65] These efforts align with broader national strategies to fuse AI with existing platforms, such as unmanned systems, for multi-domain superiority.^[76]

Key Achievements and Projects

Indigenous Weapon System Successes

The Agency for Defense Development (ADD) has led the research, development, and testing of numerous indigenous weapon systems, enabling South Korea to transition from reliance on foreign imports to domestic production and export capabilities. Over its history, ADD has developed 303 such systems, with 146 achieving formal adoption by the Republic of Korea Armed Forces, generating an estimated economic value of 697 trillion won through R&D spillovers.^[5] ^[77] These efforts prioritize high-risk, high-reward technologies like precision guidance and advanced propulsion, often starting from licensed foreign designs but evolving into fully localized variants with superior performance metrics. Prominent successes in missile technologies include the Hyunmoo series of ballistic and cruise missiles, where ADD serves as the primary developer for indigenous platforms providing short- to intermediate-range strike options against hardened targets. The Hyunmoo-5 variant, featuring a 36-tonne airframe and 8-tonne warhead optimized for deep underground bunker penetration, completed development and entered mass production in 2025, with initial deployments slated for late that year to counter North Korean fortifications.^[78] ^[79] Similarly, the K239 Chunmoo multiple rocket launcher system, initiated in 2013 as a modular replacement for legacy artillery, supports ranges up to 290 kilometers with guided munitions, demonstrating interoperability in joint exercises and attracting export contracts valued in billions.^[80] ADD's role extended to air defense interceptors like the L-SAM, which achieved successful target destruction in live-fire tests in November 2022, validating its mid-tier ballistic missile interception at altitudes exceeding 40 kilometers.^[81] In ground-based systems, ADD's contributions include the K9 Thunder self-propelled howitzer, a 155mm platform with automated loading and networked fire control that has been produced in over 1,000 units domestically since the late 1990s, exporting to more than 20 nations and generating over $10 billion in revenue by 2024. The Cheongung-II (M-SAM Block II) medium-range surface-to-air missile, another ADD-developed asset, integrates active radar homing for engaging aircraft and cruise missiles at 40-kilometer ranges, with operational deployment enhancing layered defenses.^[77] These systems underscore ADD's focus on modular, export-oriented designs, where indigenous innovations—such as composite materials and digital fire management—have reduced costs by up to 30% compared to equivalents while meeting or exceeding NATO standards in trials.^[6]

Contributions to Defense Industrialization

The Agency for Defense Development (ADD), established in 1970, spearheaded South Korea's transition from defense import dependency to indigenous production capabilities as part of the broader national strategy for self-reliance under President Park Chung-hee. By localizing research and development processes, ADD enabled the transfer of military technologies to domestic industries, fostering the growth of private sector manufacturers such as Hyundai Rotem and Hanwha Defense. This effort was integral to the Yulgok Project, launched in 1974 by the Ministry of National Defense, which targeted self-sufficiency in key weapon systems over a 15-year period through systematic R&D and production scaling.^[82]^[4] ADD's contributions extended to establishing quality control standards and standardization protocols, which streamlined manufacturing processes and enhanced the competitiveness of South Korean arms producers. Through collaborative frameworks, ADD facilitated technology acquisition from abroad while prioritizing domestic innovation, resulting in the development of foundational systems like early missile prototypes and infantry weapons that transitioned to mass production. These initiatives not only reduced foreign procurement costs—dropping defense imports from over 90% in the 1970s to under 20% by the 1990s—but also built a skilled workforce via specialized training programs integrated with university partnerships.^[4]^[83] Economically, ADD's R&D investments of approximately 65 trillion won over 55 years have generated an estimated 697 trillion won in value, including spillovers to civilian sectors through dual-use technologies in electronics and materials science. This industrialization drive positioned South Korea as a top global arms exporter by 2023, with defense sales reaching 17.3 billion USD in 2022, driven by scalable production models originating from ADD-led projects.^[5]^[6]

Export and International Recognition

The Agency for Defense Development (ADD) has significantly contributed to South Korea's defense exports, with its researched and developed weapon systems accounting for 43 percent of the nation's overseas defense exports as of 2025. These technologies, including missile and air defense systems, have enabled contracts totaling approximately 60 trillion won with over 23 countries since 2008. A prime example is the Cheongung-II (M-SAM Block II), a medium-range surface-to-air missile system indigenously developed by ADD to intercept ballistic missiles and aircraft at altitudes up to 40 kilometers. In February 2022, the United Arab Emirates signed a $3.5 billion deal to acquire the system, integrating it into its layered air defense architecture and marking South Korea's first major export of an advanced missile interceptor.^[84] This was followed by a $3.2 billion contract in 2024 to supply 10 Cheongung-II batteries to Saudi Arabia, enhancing the kingdom's capabilities against regional threats. ADD's missile technologies have also supported exports of multiple launch rocket systems like the K239 Chunmoo, which incorporates precision-guided munitions derived from ADD R&D. In April 2024, Hanwha Aerospace secured a $1.64 billion agreement to deliver 72 Chunmoo units to Poland, part of a broader package amid Warsaw's rapid military modernization post-Russia's invasion of Ukraine. These deals reflect international validation of ADD's engineering prowess, as foreign buyers prioritize systems proven in South Korean forces for their reliability and cost-effectiveness relative to Western alternatives.^[85] The global uptake of ADD-originated systems has elevated South Korea's status, positioning it as the eighth-largest arms exporter worldwide by 2023 and facilitating interoperability agreements, such as the first Asian nation's mutual recognition of military airworthiness with NATO in 2024.^[86]^[87] This recognition stems from empirical performance data, including successful intercepts in tests, rather than unsubstantiated claims, underscoring ADD's shift from import dependency to a key enabler of Seoul's strategic autonomy and economic gains from defense industrialization.

Strategic and Economic Impact

Enhancing National Self-Reliance

The Agency for Defense Development (ADD), established in August 1970 under President Park Chung-hee's self-reliant defense initiative, has fundamentally reduced South Korea's dependence on foreign military imports by prioritizing indigenous research and development (R&D). Initially driven by escalating threats from North Korea and signals of reduced U.S. troop commitments in the early 1970s, ADD focused on localizing production to mitigate vulnerabilities in supply chains and alliance dynamics.^[88]^[89] This effort aligned with broader national goals of technological independence, fostering a domestic defense industry capable of producing advanced systems without external constraints.^[4] ADD's R&D has yielded 303 weapon systems since its founding, with 146 deployed in the South Korean military, enabling approximately 70% domestic fulfillment of defense procurement needs by 2017.^[5]^[19] Key advancements include ballistic missiles like the Hyunmoo series, main battle tanks such as the K2 Black Panther, and self-propelled howitzers like the K9 Thunder, which supplanted reliance on imported equivalents. These developments not only secured operational autonomy but also established quality control standards and technological collaborations that accelerated component indigenization, reaching nearly 70% for lower-tier parts.^[90]^[4] By cultivating expertise in critical domains such as precision-guided munitions and surveillance systems, ADD has contributed to economic multipliers, with defense R&D generating an estimated 697 trillion won in value through spillovers and export revenues. This self-reliance has enhanced strategic deterrence, allowing South Korea to allocate resources flexibly amid regional tensions, while minimizing risks from geopolitical shifts in supplier nations.^[5] Ongoing initiatives continue to target full autonomy in semiconductors and AI-integrated platforms, underscoring ADD's pivotal role in sustaining national security without external dependencies.^[91]

Broader Technological Spillovers

The Agency for Defense Development (ADD) has generated substantial economic value through its defense R&D investments, with spillovers extending to civilian sectors via technology applications and enhanced industrial capabilities. Since its founding in 1970, ADD's expenditure of approximately 65 trillion South Korean won (KRW) on research and development has produced an estimated 697 trillion KRW in combined economic effects, encompassing production inducement, value-added inducement, and employment inducement effects.^[92] These outcomes include 575 trillion KRW in lifecycle cost savings from 303 developed weapons systems and the creation of 380,000 jobs, where each 1 billion KRW invested in R&D yields an average of 6.29 jobs.^[92] ADD's R&D results have been applied to civilian industries, fostering growth in related technological fields such as electronics, materials science, and advanced manufacturing through dual-use innovations and collaborative frameworks. By localizing defense technologies and establishing standards for quality control, ADD has facilitated knowledge transfer that bolsters South Korea's broader high-tech ecosystem, including contributions to semiconductor self-sufficiency and innovation in components with both military and commercial viability.^[92] This nexus has supported private-sector R&D in 32 items across 15 defense-affiliated companies, indirectly enhancing civilian applications in areas like precision engineering and systems integration.^[92] Such spillovers align with South Korea's Defense Innovation 4.0 strategy, which integrates civilian expertise into defense programs to create synergies, enabling technologies developed for military purposes—such as advanced sensors and software—to inform commercial advancements in AI, robotics, and unmanned systems.^[93] Overall, these effects underscore defense R&D's role in amplifying national technological competitiveness beyond security domains, with empirical multipliers demonstrating returns exceeding tenfold on investments.^[5]

Role in Regional Security Dynamics

The Agency for Defense Development (ADD) has played a pivotal role in enhancing South Korea's conventional deterrence posture, particularly through the indigenous development of ballistic missile systems such as the Hyunmoo series, which enable preemptive and retaliatory strikes against North Korean military assets. These capabilities form a core component of South Korea's "three-axis" defense framework—encompassing the Kill Chain for proactive threat neutralization, Korea Air and Missile Defense (KAMD) for interception, and Korea Massive Punishment and Retaliation (KMPR) for post-attack response—directly countering North Korea's nuclear and conventional threats, including its expanding arsenal of short- and medium-range missiles. For instance, the Hyunmoo-5, a bunker-busting missile with an 8-9 ton warhead capable of penetrating deeply buried command centers, entered mass production in 2025 and is slated for deployment by year's end, signaling a shift toward a "balance of terror" that discourages Pyongyang's aggression without relying on nuclear escalation.^[79]^[94]^[95] By fostering technological self-reliance in missile guidance, propulsion, and payload integration, ADD's efforts have reduced South Korea's vulnerability to North Korean artillery barrages and asymmetric attacks, thereby stabilizing the Korean Peninsula amid escalating tensions, such as North Korea's 2024 hypersonic missile tests and hybrid provocations. This deterrence extends regionally, as a fortified South Korean defense posture mitigates spillover risks to Japan and U.S. forces in the area, supporting trilateral security cooperation that includes joint exercises like Freedom Edge, which integrate South Korean indigenous systems with allied assets.^[96]^[97]^[98] ADD's innovations also influence broader East Asian dynamics by bolstering the U.S.-South Korea alliance's credibility against Chinese assertiveness, as indigenous platforms like advanced surveillance radars and anti-submarine systems enable South Korea to contribute more robustly to Indo-Pacific stability initiatives, including maritime patrols and technology-sharing pacts with partners like the Philippines and Australia. However, this buildup has elicited North Korean condemnations of an "arms race," though empirical assessments indicate it primarily serves defensive equalization rather than offensive expansion, with South Korea maintaining its non-nuclear policy under the Nuclear Non-Proliferation Treaty.^[99]^[100]^[101]

Challenges and Criticisms

Operational and Efficiency Hurdles

The Agency for Defense Development (ADD) has encountered operational challenges stemming from its centralized structure, which concentrates approximately 98% of South Korea's defense R&D budget within ADD and the Defense Agency for Technology and Quality (DTAQ).^[102] This siloed approach limits integration with private-sector and non-defense R&D efforts, hindering the adoption of dual-use technologies such as artificial intelligence and big data for defense applications.^[102] Consequently, defense innovation remains disconnected from broader technological ecosystems, exacerbating inefficiencies in adapting to emerging threats.^[102] Efficiency hurdles are compounded by a predominant focus on immediate military requirements, with 88% of R&D expenditures directed toward current needs rather than future-oriented technologies.^[102] Only about 8% of the overall defense budget is allocated to R&D, of which roughly 49% supports weapons systems development compared to 35% for foundational technology advancement.^[102] Project delays illustrate these issues; for instance, South Korea's indigenous long-range missile development, involving ADD-led R&D, has been postponed beyond initial timelines due to technical and managerial setbacks.^[103] Similarly, broader defense programs like the KDDX destroyer have faced repeated delays in contractor selection and design phases, reflecting persistent management bottlenecks in R&D-to-production pipelines. Bureaucratic exemptions further strain operations, as defense R&D entities like ADD operate outside the Framework Act on Science and Technology, which governs civilian R&D governance and oversight.^[102] This has raised concerns over potential corruption risks, evidenced by the Defense Acquisition Program Administration's low ranking in public integrity indices.^[102] Inter-service rivalries and procurement fraud have also undermined efficiency, diverting resources from essential sustainment and basic equipment upgrades—such as infantry radios and night vision—to high-profile, resource-intensive projects.^[3] These factors contribute to "wicked problems" in defense innovation, characterized by entrenched attributes that delay progress and inflate costs.^[10]

Geopolitical and Ethical Debates

The development of advanced missile systems by the Agency for Defense Development (ADD), such as the Hyunmoo series, has sparked geopolitical debates regarding escalation on the Korean Peninsula. The Hyunmoo-5, a large-payload ballistic missile capable of delivering an 8-tonne conventional warhead to destroy underground bunkers, was designed to establish a "balance of terror" against North Korea's nuclear and artillery threats, with deployment planned by late 2025.^[94]^[23] Critics, including North Korean state media, argue that such indigenous programs provoke an arms race, while South Korean officials maintain they are defensive responses to Pyongyang's repeated missile tests and nuclear advancements, as evidenced by retaliatory Hyunmoo-II launches in August 2025 following North Korean provocations.^[104] ADD's contributions to missile technology have also influenced broader regional dynamics, including South Korea's 2021 agreement with the United States to lift missile range restrictions, enabling longer-range developments that enhance deterrence but raise concerns from China about shifts in Northeast Asian power balances.^[105] This self-reliance push reduces dependence on foreign suppliers, aligning with national security goals amid U.S.-China competition, yet it has prompted discussions on whether accelerated R&D fuels proliferation risks or stabilizes alliances like the U.S.-ROK partnership.^[106] Ethically, ADD's role in developing and prototyping weapons like cluster munitions has drawn scrutiny for their indiscriminate effects, despite South Korea's non-adherence to the 2008 Convention on Cluster Munitions due to perceived military necessities against massed North Korean forces.^[107] The agency has supported production of munitions including rockets and projectiles, with evidence of ongoing manufacturing as of 2025, raising humanitarian concerns over civilian casualties from submunitions, though exports have included transfers to allies without confirmed use in recent conflicts.^[108]^[107] Arms export debates tied to ADD-derived technologies further highlight ethical tensions, as South Korea's defense industry—bolstered by ADD innovations—has expanded sales to over $14 billion in 2023, including to Middle Eastern states involved in Yemen operations, prompting opposition calls for restrictions on transfers to human rights-challenged or conflict-zone recipients.^[87]^[109] Proponents counter that such exports, often to democratic partners like Poland aiding Ukraine, strengthen global deterrence against aggression without ethical compromise, while proposed legislative curbs risk undermining economic gains and strategic partnerships.^[110]^[111] These discussions reflect a causal tension between self-reliant defense innovation and international norms, with ADD's outputs enabling both national security and global market roles.

Future Reforms and Adaptations

In response to escalating regional threats and the need for technological superiority, the Agency for Defense Development (ADD) is poised to adapt through expanded private sector partnerships, reducing its traditional monopoly on core R&D burdens. As of May 2025, South Korean defense experts have advocated breaking down institutional silos to enable broader tech sector collaboration, particularly in integrating civilian innovations like AI and smart systems into military applications.^[112] ^[113] This shift aims to accelerate development cycles for next-generation systems, such as unmanned platforms and hypersonic technologies, by leveraging private firms' agility alongside ADD's expertise. The incoming Lee Jae-myung administration has committed to injecting "unprecedented" budgets into defense R&D by 2030, surpassing prior allocations to prioritize core competencies in aerospace and advanced weaponry.^[114] ^[115] This funding surge builds on the 2024–2028 Mid-Term Defense Plan's 7% annual budget growth, directing ADD toward multi-domain capabilities including space-based assets and reusable launch systems to counter North Korean advancements.^[116] ^[117] A comprehensive defense reform blueprint, slated for completion by June 2026, will likely mandate ADD's structural adjustments for efficiency, such as streamlined procurement and enhanced interoperability with allies amid U.S.-ROK alliance evolutions.^[118] ^[119] These adaptations emphasize empirical threat assessments over legacy systems, fostering causal linkages between R&D investments and deterrence outcomes, while addressing criticisms of over-reliance on state-led models.

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South Korea Plans to Field Hyunmoo 5 Penetrating Ballistic Missile ...
South Korea plans to deploy the Hyunmoo-5 ballistic missile by late 2025, signaling a major leap in Seoul's precision-strike and deterrence ...
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South Korea's Revitalized “Three-Axis” System
Jan 4, 2023 · The new strategic command will utilize key military assets, including F-35As, reconnaissance satellites, missile interceptors, and ballistic ...<|separator|>
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South Korea strengthening three-axis defense system, enhancing ...
Sep 9, 2024 · To support the three-axis enhancements, the DAPA announced a 12% increase in system funding for 2024, taking annual spending to $5.27 billion, ...
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S. Korea aims to bolster three-axis deterrence system with defense ...
Sep 3, 2025 · It plans to spend 8.9 trillion won, up 22.3 percent from this year, on strengthening the three-axis structure that comprises the Korea Air and ...
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[PDF] Aligning South Korea's Defense Strategy and Capabilities - CSBA
The program prioritizes the acquisition of technologically advanced systems built by Korean companies, including ground-based missile defenses, fighter aircraft ...Missing: Agency | Show results with:Agency
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https://www.ifri.org/en/papers/south-koreas-emergence-defense-industrial-powerhouse
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South Korea enhances regional security role
Nov 4, 2024 · The move enhances security cooperation with regular defense minister meetings and support for South Korea's efforts for a denuclearized Korean ...Missing: Development dynamics
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What the Ukraine-Russia War Means for South Korea's Defense R&D
The Ukraine-Russia war shows the need for South Korea to integrate defense R&D with non-defense and private sectors, as current separation is limited.Missing: core | Show results with:core
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South Korea Pushes Back Domestic Long-Range Missile Project by ...
Aug 21, 2025 · South Korea's efforts to develop a homegrown long-range missile will take longer than expected.
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South Korea Responds to North Korean Provocations with Hyunmoo ...
Aug 27, 2025 · In response to North Korea's recent missile launches, South Korea fired a Hyunmoo-II ballistic missile toward the Yellow Sea, ...
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https://www.theguardian.com/world/2025/oct/23/south-korea-monster-missile-hyunmoo-5-balance-power-north
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A Marie Kondo Moment for MTCR: Tidying Up the U.S. Approach to ...
Sep 23, 2025 · MTCR's controls raised the cost, slowed progress, and in a few cases helped roll back nascent missile development programs—as well as provide ...
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South Korea - Landmine and Cluster Munition Monitor
South Korea declined to answer a request under the Official Information Disclosure Act asking if it had exported or transferred any cluster munitions in 2022– ...
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[PDF] Cluster Munition Monitor 2025 - ICBLCMC
Sep 16, 2025 · Landmine and Cluster Munition Monitor provides research and monitoring for the Cluster. Munition Coalition (CMC) and the International ...
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The dark side of South Korea's booming weapons export business
Aug 16, 2022 · A recently inked arms deal with Poland has prompted questions of whether Korea should consider issues of human rights and democracy when exporting weapons.Missing: ethical | Show results with:ethical
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South Korea's arms export boom at risk amid opposition's push for ...
Nov 6, 2024 · Proposed laws targeting conflict-zone sales could impact defense industry growth, innovation and global partnerships.
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Will South Korea's Defense Industry Boom Change U.S.-ROK ...
Aug 19, 2024 · South Korea's defense industry growth signifies opportunities for increased security independence, but is unlikely to shake up the country's military ...Missing: controversies | Show results with:controversies
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South Korea's defense R&D demands private sector collaboration ...
May 11, 2025 · South Korea's military innovation requires breaking down barriers for tech collaboration across sectors.Missing: reforms | Show results with:reforms
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Mapping South Korea's Defence Industrialisation in the Age of Smart ...
Oct 15, 2025 · South Korea defence industrialisation blends AI, robotics, and semiconductors to transform its military and expand its global defence ...
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https://www.aa.com.tr/en/asia-pacific/south-korean-president-lee-pledges-bold-investments-in-defense-aerospace-by-2030/3721829
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https://www.chosun.com/english/national-en/2025/10/20/FDS6UOJUAVBKZOIOIPOXFQA4C4/
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The Future of K-Power: What South Korea Must Do After Peaking
Aug 22, 2024 · Embracing the opportunities provided by emerging technologies to help South Korea become a global leader in harnessing the momentum of the ...
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South Korea approves strategic plans for space - SpaceNews
Feb 28, 2025 · The agency has developed the expendable Nuri rocket, or KSLV-II, and is developing the larger KSLV-III. The development of the latter will be ...
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Defense ministry to complete new defense reform plan by June 2026
Sep 17, 2025 · The defense ministry said Wednesday it will draw up a new defense reform plan for the Lee Jae Myung administration by June next year, ...
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The Future of the ROK-U.S. Alliance: Adapting to a Changing World
Sep 30, 2025 · It is required that the ROK defense budget be increased to 3.5 percent to 3.8 percent of GDP (currently at the 2.3 percent level). Third, there ...