Next-Generation Launch Vehicle Rebid Closes Today... Hanwha Aero Likely to Secure Sole Contract if Bid Fails

The bid for the system integration company to lead the next-generation launch vehicle development project, worth a total of 2.0132 trillion KRW, has failed again in the re-bid, and it is expected to proceed with a private contract.

The Korean launch vehicle Nuriho (KSLV-II), developed with domestic proprietary technology, was launched on the afternoon of May 25 last year at the Naro Space Center in Goheung-gun, Jeollanam-do. [Image source=Yonhap News]

According to the Ministry of Science and ICT, the Public Procurement Service, and the aerospace industry on the 6th, the re-bid for the main launch vehicle manufacturer overseeing the next-generation launch vehicle development project will close this afternoon.

The next-generation launch vehicle project aims to develop a launch vehicle with more than three times the performance of Nuriho for space exploration, including launching large satellites and lunar landers. Development is underway with the goal of three launches in 2030, 2031, and 2032.

A representative from Hanwha Aerospace stated in a phone interview with Asia Economy that they will participate in the second bid following the first, but if they are the sole bidder again, the bid will fail. Korea Aerospace Industries (KAI) withdrew from the first bid, so there is a high possibility of failure this time as well. KAI stated in a press release during the first bid that they would focus on reusable launch vehicles with greater commercial viability rather than the next-generation launch vehicle.

The Ministry of Science and ICT is expected to promptly proceed with a private contract if the second bid also fails. Without additional bid announcements, conducting a private contract and closing the contract early is necessary to meet the development schedule of the next-generation launch vehicle. Hanwha Aerospace said that even if a private contract is made, they will sincerely negotiate with the Korea Aerospace Research Institute. The Korea Aerospace Research Institute also stated that they are preparing for negotiations anticipating a private contract.

However, if a private contract is made, it is inevitable that the original purpose of the next-generation launch vehicle project, which is the first space project procurement method where a company rather than the government plays a central role, will be undermined. This reveals limitations, as technological advancement through competition between companies is restricted, and it will be difficult to encourage private sector participation in space development fields lacking commercial viability in the future.

This content was produced with the assistance of AI translation services.