The U.S. Army has picked Hanwha Defense USA to design new wheeled cannon prototypes for a major military modernization effort.
The agreement, worth up to $262.9 million, calls for Hanwha to deliver up to 18 Self-Propelled Howitzer Systems for rapid prototyping, testing, and experimentation by soldiers, according to an Aug. 18 statement from the U.S. Army.
Hanwha will initially deliver six Mobile Tactical Cannon (MTC) systems, with an option for an additional 12.
The U.S. Army said that the MTC program is “a critical priority in the Army’s ongoing continuous transformation and long-range fires modernization efforts.”
The Army said that the data and insights gathered from soldier experimentation will inform the decision on future fielding.
If approved, the MTC will replace the M777 towed artillery systems in select formations, “significantly increasing their lethality, mobility, reliability, and survivability on the modern, highly transparent battlefield.”
“Soldiers will use these platforms in a series of operational experiments to assess performance, reliability, and supportability in realistic combat conditions,” the U.S. Army said.
1st Major US Army Contract
Hanwha Defense USA (HDUSA), based in Arlington, Virginia, is a subsidiary of South Korean company Hanwha Aerospace.
The selection of HDUSA marks a milestone for Hanwha Aerospace, as it seeks to leverage its global artillery business to win orders from the U.S. military.
HDUSA said in its Aug. 18 statement that the award to deliver the K9 Mobile Howitzer (K9MH) prototypes marks its first major contract with the U.S. Army.
The company said it would supply an artillery system that would support the U.S. Army’s modernization needs.
“With more than 2,500 K9 Howitzers already fielded globally, Hanwha is uniquely positioned to partner with the U.S. Department of War (DoW) to establish high-volume industrial capacity centered around the company’s wartime production ethos,” HDUSA said.
Soldiers move past a self-propelled howitzer during a military live-fire shooting training in Taichung City, Taiwan, on June 9, 2026. Chiang Ying-ying/AP Photo
It said it was establishing a site in Opelika, Alabama, to serve as the test facility for the K9MH, the wheeled variant of the K9.
Mike Smith, chief operating officer of Hanwha Defense USA and president of Land Systems, said that the company was “honored that the U.S. Army has selected Hanwha’s K9 Mobile Howitzer to fulfill its Mobile Tactical Cannon requirement.”
“The K9MH is the total artillery solution and will be the centerpiece of Army Fires’ transformation into a more modern, more lethal force,” Smith said.
Shares in Hanwha Aerospace rose as much as 9.5 percent in early trade on Aug. 19 after the announcement.
Hanwha has sold ground systems, including K9 self-propelled howitzers, to countries around the world, including Australia, Norway, and NATO member Turkey.
Reuters contributed to this report.
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