Hyundai Rotem Co., the train manufacturing subsidiary of South Korea’s Hyundai Motor Group, which is preparing to finalize a second K2 tank export deal with the Polish government worth 9 trillion won ($6.7 billion), is now setting its sights on Romania as its next potential market. Although Romania’s tank acquisition program has stalled due to a recent change in government, Hyundai Rotem continues to engage with Romanian authorities to keep negotiations on track.
As of July 29, according to defense industry sources and foreign media, the Romanian government has not yet issued a formal tender for its tank replacement program, a central component of its broader military modernization strategy. Romania initially unveiled the plan in 2022, aiming to procure 300 new main battle tanks.
The country still operates approximately 160 T-55 tanks, originally developed in 1958 and widely deployed during the Soviet era. Among North Atlantic Treaty Organization (NATO) member states, Romania is the only nation still operating the aging platform.
In November 2023, Romania purchased 54 Abrams tanks from the United States. With a substantial portion of its planned procurement still undecided, Hyundai Rotem is seen as a strong contender against Germany’s Leopard tank, having already completed a live-fire demonstration of the K2 in Romania last year.
Political developments, however, have delayed further progress. A new administration was inaugurated following the presidential election in May, and the Romanian parliament subsequently cut funding for the tank replacement initiative.
“There is intense political friction between the ruling and opposition parties in Romania regarding defense procurement,” a defense industry official said. “The situation remains fluid and requires close observation.”
Hyundai Rotem and South Korean military officials are closely monitoring Romania’s budget discussions. “We’re currently watching developments unfold,” a South Korean military official said. “Depending on how the new budget is finalized, the climate may shift.”
The South Korean firm is maintaining a long-term approach to negotiations, reportedly emphasizing key advantages of South Korean defense manufacturing—including local production capabilities and rapid delivery timelines—during ongoing meetings with Romanian counterparts.
“We’re promoting our product locally with the mindset that we are starting over from the beginning,” a Hyundai Rotem representative said.
While the tank procurement program remains on hold, other Romanian military modernization projects are proceeding. On July 10, the Romanian government approved a new initiative to acquire infantry fighting vehicles (IFVs). The project will span eight years and involve five variants, including standard IFVs, command-and-control vehicles, and 120mm mortar carriers.
The contract calls for a total of 246 units, with Romania aiming to finalize the deal within 2025. Hanwha Aerospace has entered the bid with its Redback armored vehicle. Romania is already operating Hanwha’s K9 self-propelled howitzers and is currently building a domestic production facility for the K9 platform.
Despite recent delays, interest in the K2 tank remains strong in Romania. On July 18, Defense Romania reported that Romanian troops had participated in a four-week training program in South Korea involving both the K9 and K2 systems. The outlet noted that “the K2 tank is a perfect fit for the Romanian military.”
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