According to Peruvian defense officials, the facility will include around 30% local components and manufacturing services, promoting technology transfer and industrial participation by Peruvian suppliers. The site will be jointly operated by Hyundai Rotem and FAME S.A.C. and is expected to serve as a hub for production, assembly, and maintenance of armored vehicles for Peru and potentially other Latin American countries.
The investment follows a strategic defense agreement signed between Peru and Hyundai Rotem in November 2024 in Lima, which included the supply of K2 tanks and K808 vehicles. The plan aims to gradually replace the country’s aging fleet of Soviet-era T-55 and French-made AMX-13 tanks, many of which have been in service for over five decades.
The K2 Black Panther features a 120mm smoothbore gun, automatic loading system, and advanced protection suite, while the K808 armored vehicle is designed for high mobility across rugged and mountainous terrain, incorporating amphibious capabilities and adaptable tire pressure control systems.
General Jorge Arévalo Kalinowski, Commander General of the Army Logistics Command and board member of FAME, noted that the Hyundai Rotem partnership represents a “long-term strategic modernization plan” that will enable Peru to close the equipment gap with neighboring countries.
South Korea’s Defense Acquisition Program Administration (DAPA) and the South Korean Embassy in Lima have supported the cooperation framework, emphasizing it as a model for defense industrial partnerships based on technology sharing and local production.
This new development underlines Peru’s broader efforts to transform its defense sector into a pillar of national policy through industrial investment, legislative reforms, and international cooperation, aligning with the government’s forthcoming Defense Industry Promotion Law.
