Hyundai Rotem's K2 main battle tank is the first Korean defense item to obtain NATO quality assurance certification — a significant achievement that will enhance the firm's competitiveness in the international defense market, the defense company announced.
The organization obtained the Allied Quality Assurance Publications (AQAP)-2110 certification, a NATO standard for quality assurance in the design, development, and production of defense equipment.
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AQAP-2110 is an essential certification for providing defense equipment to NATO countries, as it confirms that products adhere to the alliance's rigorous quality assurance standards during manufacturing. The certification is commonly viewed as a vital requirement for increasing defense exports to NATO nations and partner countries.
The certification encompasses Hyundai Rotem's series of armored vehicles, such as the K2 main battle tank, armored recovery vehicle, and combat engineering vehicle. The firm announced its intention to expand the range of certification to more defense products based on market requirements.
The K2 tank, now certified, meets an essential eligibility criterion for engaging in defense procurement tenders within the NATO market, likely improving its standing in upcoming bids and contract discussions.
NATO is the largest defense procurement market globally, responsible for about 55 percent of total military expenditures worldwide. The alliance has persistently increased defense budgets due to rising geopolitical tensions, while the Korean government has initiated discussions with NATO on a framework procurement agreement that could enable Korean companies to take part in the alliance's joint procurement market, valued at approximately 15 trillion won ($10 billion) each year.
Hyundai Rotem stated that the certification would act as a globally acknowledged standard of the firm's quality and technological expertise, aiding its growth beyond Europe into markets such as the Middle East and Latin America.
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Earlier, Hyundai Rotem, the rail, defense, and industrial facility subsidiary of the Hyundai Motor Group, announced on Thursday that it has been awarded a Silver Medal by the global ESG rating organization EcoVadis. This is the first instance the company has achieved that level, representing a one-tier upgrade from the Bronze Medal it maintained for four continuous years from 2022 to 2025.
EcoVadis evaluates over 130,000 companies in 180 nations on their environmental, social, and governance (ESG) performance and grants the Silver Medal to those in the top 15 percent of all evaluated companies. The agency assesses businesses on four themes: environment, labor and human rights, ethics, and sustainable sourcing.
Hyundai Rotem enhanced its performance in all four categories compared to the previous year. The firm stated that its Transparent Management Committee, an internal governance group made up solely of outside directors and active since 2020, enhanced its ethics score. The committee examines intergroup dealings, adherence to fair trade practices, and issues related to shareholder protection, and it documents its activities in the company's corporate governance report.
In the areas of ethics and compliance, the company reported that all employees finished its internal training program. In 2024, Hyundai Rotem was awarded the top grade of "AA" by the Korea Fair Trade Mediation Agency from the Fair Trade Commission for its compliance initiatives.
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Regarding sustainable procurement, the company noted that its approach to performing ESG evaluations of its suppliers and promoting responsible sourcing across its supply chain was viewed favorably. In 2024, it established sustainable components supply agreements with over 1,300 partner firms.