TAIPEI (Taiwan News) — National Chung-Shan Institute of Science and Technology signed an MOU with US defense firm Leonardo DRS on Thursday to modernize Taiwan’s M60A3 main battle tanks.

Under the memorandum, NCSIST and Leonardo DRS will market modular upgrade kits for the M60A3’s fire-control and targeting systems, per CNA. The agreement will also leverage the institute’s engineering expertise and DRS’s international sales network.

NCSIST has developed digital fire control, full-electric gun control, and high-resolution targeting systems that improve strike accuracy. Leonardo DRS confirmed that retaining the 105 mm gun aligns with market demand and cost considerations, avoiding a full conversion to 120 mm.

The upgraded system features a hunter-killer capability and a remote-controlled turret, enhancing barrel stability and the tank’s first-shot hit rate. Aluminum protective mesh around the turret provides basic armor without overloading the engine.

The hunter-killer system allows the gunner to designate a target and move to the next engagement, significantly speeding up combat response compared with older systems.

Leonardo DRS Vice President Alan Mosher said the company is pleased to participate in enhancing Taiwan’s defense capabilities, per Liberty Times. The retired US Army colonel said the upgrade provides the enhancements necessary for modern battlefield operations.