Turkey inks $200M deal with S.Korean firm for parts of MBT Altay

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South Korean firm will supply transmissions for the engines to be used on Turkey’s domestic main battle tank (MBT) project, Altay, which was on hold after a deal with a German company collapsed.

SNT Heavy Industries will supply Altay producer BMC with a 1,500-horsepower automatic transmission, the company said Monday.

It said the export deal includes $74.9 million of supply until 2027 and has an option for further sourcing priced at $141 million between 2028 and 2030.

The South Korean company said the deal was signed after a test evaluation, including an endurance driving test last year.

“It is a valuable achievement through a harsh test evaluation, such as completing a night-based driving of about 200 kilometers (124.27 miles) a day even in the local rough terrain and environment,” the company said, adding that their transmission could perfectly replace the German parts.

Previously, the next-generation battle tank’s prototype was powered by a 1,500 horsepower diesel engine from Germany’s MTU Friedrichshafen GmbH. The German Rheinmetall had also established a joint venture with BMC aimed at joint production of armored vehicles, particularly the Altay. However, the production and supply of the tank engine came to a halt following Berlin’s decision to limit arms exports to Türkiye, a longtime NATO ally.

Media reports said previously that BMC was also negotiating an agreement with two South Korean companies, Doosan Infracore Co. and S&T Dynamics Co., for the engine and transmission.

Turkish defense officials have reiterated several times that the engine to be purchased from abroad will only be used on the first mass-produced tanks. In subsequent productions, Altay tanks are to be powered with domestic engines that are under production.

Turkey completed the ignition of its first nationally developed 1,500-horsepower engine, BATU, in May. It is projected to power various armored vehicles and tanks, potentially including the Altay.

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