Poongsan Corporation

Poongsan Corporation is a South Korean manufacturer whose activities combine non-ferrous-metal processing with defense production. Established in 1968 as Poongsan Metal Industry Co., Ltd., the company initially built its industrial base around copper and copper-alloy products. Its product range includes sheets, strips, tubes, rods, wires, and other precision metal forms used in electrical, industrial, transportation, and monetary applications. Coin blanks became one of its most internationally visible businesses: the company began supplying brass blanks to Korea Minting and Security Printing Corporation in 1970, entered the export market with a Taiwan contract in 1973, and later supplied blanks to customers across Asia, Europe, North America, and other regions. It also developed bimetallic coin materials and became a significant supplier to national mints. By 2023, its bimetallic coin products were reported to reach more than 70 countries and represent more than half of the global coin-blank market, although the coin business has faced structural pressure from the spread of electronic payments. Poongsan also has a long-standing defense-industry business. In 1970, it became one of the South Korean companies selected for industrialization-policy support and the first private company in the country to enter the defense industry. The completion of its Angang Ammunition Plant in Gyeongju in 1973 gave it a domestic manufacturing base for military ammunition. Through research, development, and localization programs during the 1970s, the company expanded into small-, medium-, and large-caliber ammunition, eventually producing a broad range of rounds for ground forces, air defense, naval systems, and armored vehicles. Its portfolio includes 5.56 mm rifle ammunition, mortar rounds, tank ammunition, anti-aircraft ammunition, naval artillery rounds, and 155 mm howitzer shells. The company also produces propellants, gunpowder, precision-forged components, and ammunition for military, law-enforcement, sporting, and civilian markets. Poongsan's civilian ammunition activities are associated with PMC Ammunition, or Precision Made Cartridges, a South Korean ammunition business producing cartridges from small-arms ammunition through larger military rounds. In 1982, after acquiring the First Armory in Busan, Poongsan established PMC to build on its small-caliber manufacturing expertise and serve military, sports, law-enforcement, and consumer markets. The corporation's business mix gives it exposure to both long-term industrial trends and cyclical geopolitical demand. Electronic payments have reduced demand for physical coinage and contributed to a long-running decline in coin-blank revenue since 2013. Conversely, heightened military requirements, including those associated with the war in Ukraine, increased international demand and pricing for artillery and other ammunition. Poongsan has consequently remained a strategically important South Korean producer with a dual identity: a global copper and coin-material supplier and a defense manufacturer with export capabilities.

Poongsan was established in October 1968 as Poongsan Metal Industry Co., Ltd. Its first major industrial installation was the Bupyeong plant, completed in 1969, where the company began producing copper-alloy materials. The business obtained an early domestic reference in 1970 when it started supplying brass coin blanks to Korea Minting and Security Printing Corporation. The same year, South Korea designated Poongsan as one of five key companies supporting the country's industrialization program, and the company became the first private enterprise in South Korea to enter the defense industry. International expansion began in 1973, when Poongsan won a contract worth approximately US$3.5 million to supply coin blanks to Taiwan. That year also marked the completion of the Angang Ammunition Plant in Gyeongju, the first South Korean defense-industry facility of its kind. Defense research and import-substitution efforts during the 1970s enabled the company to manufacture progressively wider ranges of small-, medium-, and large-caliber ammunition. By the end of that decade, it reportedly produced most categories of ammunition used by the South Korean military, with a parts-localization rate of about 95 percent. The coin business expanded during the 1980s. In 1982, Poongsan acquired the First Armory in Busan and established PMC to manufacture military and sporting ammunition using its small-caliber expertise. In 1985, the company secured a contract to supply 7,500 tons of coin blanks to India. By the late 1980s, Poongsan coin blanks had reached approximately 30 countries, and the company produced commemorative coins connected with the 1986 Asian Games and the 1988 Seoul Olympics. During the 1990s, Poongsan developed its own bimetallic coin technology using copper-alloy materials. This capability later supported supplies to European customers, including the Netherlands and Italy, beginning in 2001. Coin blanks became a major international business, with products supplied to national mints and currency manufacturers in many markets. The company also broadened its metal-processing portfolio to include copper and copper-alloy sheets, strips, tubes, rods, and wires for industrial customers. Poongsan's defense business continued to cover military ammunition, propellants, gunpowder, and precision-forged parts. Its ammunition portfolio came to include rifle cartridges, mortar rounds, tank ammunition, anti-aircraft rounds, naval artillery ammunition, and 155 mm howitzer shells. PMC additionally served military, law-enforcement, sporting, and civilian ammunition markets. The corporation has faced contrasting trends in its two principal businesses. The spread of electronic payment systems has reduced the use of physical currency and contributed to a reported decline in coin-blank revenue since 2013. At the same time, geopolitical tensions and the war in Ukraine increased demand for artillery ammunition and contributed to higher ammunition prices. Reports concerning U.S. procurement of South Korean 155 mm ammunition during 2022–2023 and Poongsan's proposed 81 mm mortar-shell export to Lebanon in 2024 illustrate the regulatory and strategic importance of its defense operations. As described in available reference material, Poongsan remains an active South Korean manufacturer with a dual focus on non-ferrous metals and defense products.

1. 2024Lebanon mortar-shell export proposal

   Poongsan reportedly sought South Korean approval for an 81 mm mortar-shell export to Lebanon; authorities later described conditions under which the export might be permitted.

   Source
2. 2023International ammunition demand strengthens

   Demand for and prices of military ammunition rose amid the war in Ukraine, supporting Poongsan's defense business and exports.

   Source
3. 2013Coin-blank demand begins reported long-term decline

   The company's coin-blank revenue was reported to have declined annually from this period as electronic payments spread.

   Source
4. 2001European bimetallic coin supply

   Poongsan began supplying its bimetallic coin products to customers in the Netherlands and Italy.

   Source
5. 1988Olympic commemorative coin production

   Poongsan produced commemorative coins associated with the 1988 Seoul Olympics, following similar work for the 1986 Asian Games.

   Source
6. 1985Large Indian coin-blank contract

   The company won a contract to supply 7,500 tons of coin blanks to India.

   Source
7. 1982PMC established

   Following acquisition of the First Armory in Busan, Poongsan established PMC to produce military and sporting ammunition.

   Source
8. 1973Taiwan export contract and Angang ammunition plant

   Poongsan won its first reported overseas coin-blank contract, supplying Taiwan, and completed the Angang Ammunition Plant in Gyeongju.

   Source
9. 1970Domestic coin-blank supply begins

   Poongsan began supplying brass coin blanks to Korea Minting and Security Printing Corporation and entered South Korea's defense industry as its first private participant.

   Source
10. 1969Bupyeong plant begins copper-alloy production

    After completion of the Bupyeong plant, Poongsan began producing copper-alloy products.

    Source
11. 1968Poongsan Metal Industry established

    The company was founded in October 1968 as Poongsan Metal Industry Co., Ltd.

    Source

A vertically capable South Korean materials and defense manufacturer positioned around copper-alloy expertise, international coin-blank supply, localized ammunition production, and precision manufacturing.

• Copper and copper-alloy industrial materialsNon-ferrous metal processing

  Poongsan produces copper and copper-alloy sheets, strips, tubes, rods, and wires. These materials form the company's foundational industrial business and serve applications requiring conductivity, formability, corrosion resistance, or controlled alloy performance. The portfolio connects the company to a broad range of industrial customers rather than a single end market.

• Coin blanksMinting materials1970

  Coin blanks are partially finished metal pieces supplied to mints for striking into circulating or commemorative currency. Poongsan has produced brass, copper-alloy, and bimetallic blanks and has supplied customers in numerous countries. Its international coin business became a defining part of the company, although demand faces long-term pressure from electronic payments.

• Bimetallic coin blanksCoin materials

  Poongsan developed bimetallic coin technology during the 1990s using copper-alloy materials. Bimetallic blanks combine different metal components in a single coin substrate and can support distinctive appearance, durability, and authentication characteristics. The products were supplied to European customers and later exported widely.

• Military ammunitionDefense products1973

  Poongsan manufactures a broad ammunition portfolio covering small-arms cartridges, mortar rounds, tank ammunition, anti-aircraft ammunition, naval artillery rounds, and large-caliber artillery ammunition including 155 mm howitzer shells. The business was built through domestic defense research, production localization, and dedicated ammunition facilities.

• PMC AmmunitionSmall-arms and ammunition products1982

  PMC Ammunition, also known as Precision Made Cartridges, is Poongsan's ammunition business associated with military, law-enforcement, sporting, and civilian cartridges. Its reported product scope ranges from small-arms ammunition to larger military rounds, including products based on Poongsan's South Korean manufacturing operations.

• Precision-forged productsPrecision manufacturing

  Precision forging complements Poongsan's metal-processing and defense activities. The company manufactures forged components and related products where dimensional control and material performance are important, including parts associated with ammunition and other industrial applications.

• 2024Seek approval for Lebanon mortar-shell exportOther

  Poongsan sought authorization to export 81 mm mortar shells to Lebanon, making the transaction dependent on South Korean defense-export controls.

  What changed. The company reportedly requested approval from the Ministry of National Defense and the Defense Acquisition Program Administration.

  Aftermath. Authorities later stated that an export could be possible under conditions involving removal of lot-number and country-of-origin information and execution of a non-disclosure agreement.

  Source
• 2023Expand ammunition output for international demandStrategy

  The war in Ukraine increased demand for artillery and other military ammunition and contributed to higher market prices.

  What changed. Poongsan supplied and exported various large-caliber rounds while benefiting from stronger defense-market demand.

  Aftermath. The defense division reportedly recorded stronger sales in 2023, while the company remained subject to export controls and government oversight.

  Source
• 1990Develop bimetallic coin technologyProduct launch

  Coin issuers increasingly required specialized substrates for modern circulating and commemorative coins.

  What changed. Poongsan developed its own bimetallic coin products using copper-alloy materials.

  Aftermath. The technology supported later supplies to European customers and helped broaden the company's international coin-material business.

  Source
• 1970Enter the private defense industryStrategy

  South Korea's industrialization policy identified strategic companies for domestic manufacturing development. Poongsan was selected as one of five key companies and became the country's first private defense-industry entrant.

  What changed. Poongsan developed defense production capabilities and proceeded toward dedicated ammunition manufacturing, culminating in the Angang facility in 1973.

  Aftermath. The decision established defense production as a durable second pillar alongside copper and non-ferrous-metal processing.

  Source

• 2024Poongsan sought approval to export 81 mm mortar shells to Lebanon

  In August 2024, Poongsan reportedly asked South Korea's Ministry of National Defense and Defense Acquisition Program Administration to approve an export of 81 mm mortar shells to Lebanon.

  Regulation
  Source
• 2024South Korean authorities outlined conditions for possible Lebanon ammunition export

  In October 2024, South Korean defense authorities reportedly indicated that the Lebanon ammunition export could proceed if lot-number and country-of-origin information were removed and a confidentiality agreement was signed.

  Regulation
  Source
• 2023U.S. reportedly received South Korean 155 mm ammunition supplied through Poongsan

  Reports described an arrangement under which the United States imported approximately 600,000 155 mm rounds from South Korean military stocks and Poongsan during 2022 and 2023, with the ammunition subsequently provided to Ukraine. The arrangement highlighted Poongsan's role in South Korea's artillery-ammunition industrial base.

  Other
  Source
• 2013Electronic payments continued to pressure the coin-blank business

  The company's coin-blank revenue was reported to have entered an annual decline from 2013 onward as electronic payment systems reduced the use of physical currency.

  Other
  Source

1. Poongsan Corporation