Hanwha Group Chairman Kim Seung-youn / Courtesy of Hanwha Group

Hanwha Group Chairman Kim Seung-youn is set to take the helm of the group's key defense subsidiaries, amid growing expectations that arms companies will see increased exports to the United States under the Trump presidency.

In a regulatory filing, Thursday, Hanwha Aerospace, the group's key affiliate manufacturing spacecraft engines and defense solutions, said Kim had been appointed as the firm's chairman. Kim also serves as chairman of the conglomerate's key subsidiaries, such as Hanwha Solutions and Hanwha Systems. Hanwha Systems is particularly one of the two major defense subsidiaries along with Hanwha Aerospace within the group.

The latest decision is viewed as a clear move by Kim to lead the group's overseas defense business, as the arms units are expected to secure more orders from the world's largest economy. This outlook is based on Trump's repeated statements about the need for the U.S. to increase defense spending to "rebuild the country's military" after taking office next year.

For any defense players, the U.S. is one of the most sought-after markets, as exports to the country pave the way for defense firms to receive more orders from other countries.

In June, Hanwha Systems and Hanwha Ocean acquired Philly Shipyard, a major U.S. shipbuilder, under their strategy of building it as a base to tap deeper into the U.S. warship market.

Kim is known to have a close relationship with Heritage Foundation co-founder Edwin Feulner who worked as a defense advisor to Trump. Kim was also invited to the inaugural ceremony of Trump back in 2017, but could not attend due to his health condition.

"The upcoming Trump administration will likely expand its defense spending and import more weapons," an official at the defense industry said. "If Hanwha affiliates win new orders from the U.S., this will serve as a major opportunity for them to raise their global profile and achieve more orders across the globe."