The final contractor for the "Multipurpose Unmanned Vehicle Procurement Project," aimed at introducing a core capability for the Army's future combat system "Army TIGER 4.0," is expected to be decided around July 24. The contractor selection process is being wrapped up about two years after the project began, following delays caused by disputes between companies.
According to reporting by The Seoul Economic Daily on the 30th, the Defense Acquisition Program Administration (DAPA) will conduct a "model determination evaluation" from June 29 to July 1 in accordance with the relevant procedures. The evaluation results will be reported to the Defense Acquisition Program Planning and Management Subcommittee, set to convene around July 24, where the final contractor will be confirmed.
Price bidding was reportedly conducted on the 24th. Accordingly, after schedule adjustments including the Constitution Day holiday, the final contractor selection and contract are expected to be completed by the end of July through the Defense Acquisition Program Planning and Management Subcommittee.
While the initial volume for this project amounts to only about 50 billion won, it carries significant symbolic value as it could secure a leading position in the standard capability of future ground warfare. In particular, industry attention is focused on the project because the winner could gain an early lead not only in subsequent mass production volumes but also in the domestic unmanned ground system market and the rapidly growing overseas unmanned system market.
Hyundai Rotem and Hanwha Aerospace are currently competing for the project. Hyundai Rotem proposed the "HR-Sherpa," while Hanwha Aerospace proposed the "Arion-SMET."
Notably, the company that wins this initial volume could gain a favorable position in future mass production projects as well. The scale of the subsequent mass production project is estimated at a minimum of more than 500 billion won. Following the establishment of requirements and a feasibility study around next year, the project announcement is expected in 2029.
A DAPA official said, "The multipurpose unmanned vehicle project is being pursued in accordance with relevant laws and regulations," adding, "Price bidding has been completed, and through the model determination evaluation and review by the Defense Acquisition Program Planning and Management Subcommittee, the final contractor decision is expected to be possible within July."
The defense industry cites the application of the so-called "penalty for defiance" as the biggest variable in this contractor selection. This is because, as the project delays dragged on, DAPA Commissioner Lee Yong-cheol stated that he would "review penalties for intentional delay actions."
Hyundai Rotem raised an objection in April last year, arguing that "the performance verification evaluation results should be recognized regardless of the proposal." Even after the project resumed this year, the company did not participate in the evaluation last March, raising fairness issues over the highest-performance evaluation method, the final evaluation stage, causing the project to be delayed again.
The multipurpose unmanned vehicle project is a project to mass-produce a future ground platform that combines artificial intelligence (AI) and unmanned technology to carry out missions such as surveillance and reconnaissance, combat support, and materiel transport. It is considered a core capability of "Army TIGER 4.0," the future combat system being pursued by the Army.
Originally, the project was designated as a rapid demonstration acquisition project in April 2024 and was scheduled to be completed by 2026. However, due to conflicts between participating companies, the contractor selection initially planned for the first half of this year was delayed by about a year, and the military's force buildup schedule has been delayed as well.
