WHITE HALL — Hanwha Defense USA, a South Korean defense contractor, announced plans to build a $2.2 billion ammunition factory at the Pine Bluff Arsenal in Jefferson County, marking its first manufacturing facility in the United States. The project is expected to generate approximately 400 jobs with average hourly wages of $50 over the next seven years.
Arkansas Governor Sarah Huckabee Sanders called the investment a “transformational” step for Jefferson County and the Arkansas Delta. Speaking at a news conference on Monday at the Pine Bluff Arsenal, she added, “This is the kind of investment that helps ensure Arkansas remains a leader in supporting our nation’s defense.” The news conference also included the unveiling of newly established administrative headquarters for the project.
Hanwha Defense USA secured a lease for a munitions campus at the Arsenal through an Army solicitation process in January. According to the company, the facility will specialize in producing propellant charges and base bleed units for 155-millimeter artillery ammunition—key components that extend weapon speed and range.
CEO Michael Coulter highlighted automation and safety as priorities for the plant's operations. “Our goal is to maximize automation to ensure safe manufacturing and enhanced quality,” Coulter said. “This project aims to transform Pine Bluff Arsenal into a modern asset that advances both national defense priorities and Army readiness.”
Jordan Gillis, Assistant Secretary of the Army for Installations, Energy and Environment, attended the announcement and emphasized the collaborative effort between the community, the Army, and the defense industry. “This partnership demonstrates what can happen when we come together around shared goals,” Gillis said.
The Pentagon has increasingly focused on bolstering the military-industrial base as global conflicts strain national stockpiles. Arkansas’ munitions industry has played a longstanding role in this strategy. The Pine Bluff Arsenal, built in 1941 during World War II, has remained a key asset for national security.
Arkansas Commerce Secretary Hugh McDonald noted that Hanwha’s factory represents one of four major investments planned for Jefferson County in the coming years, totaling $6 billion in capital projects. Discussions with Hanwha began in March 2024 and were supported by U.S. Rep. Bruce Westerman, along with U.S. Senators Tom Cotton and John Boozman. Their efforts included an international trip to Japan, Taiwan, and South Korea in May 2025 to promote Pine Bluff as a modern defense hub.
Governor Sanders also contributed to the outreach by meeting with Hanwha executives during a trade mission to England in July 2026, further positioning Arkansas as a competitive destination for defense-related investments.
Defense manufacturing remains a significant economic contributor in South Arkansas. In addition to Hanwha’s planned facility, East Camden hosts a 2,000-acre L3Harris campus producing over 115,000 rocket motors annually. The region also houses a $33 million missile plant jointly operated by Raytheon Technologies and Rafael Advanced Defense Systems.
The Pine Bluff project is set to further strengthen the area’s reputation as a vital center for munitions production, ensuring readiness for the U.S. military and bolstering the state economy.