"Delayed KF-21 Would Hurt Exports...Next Year's Budget Must Be Approved"

KAI President Kim Jongchul Holds Press Conference
Shifting Focus from Military to Civilian Business
Organizational Restructuring and Personnel Reallocation Planned for Next Month

Kim Jongchul, President of Korea Aerospace Industries (KAI), stated on May 13 that approval of the 2027 production budget is essential to ensure the combat deployment and export competitiveness of the KF-21 Boramae. He explained that if the ongoing debate over budget cuts leads to actual delays in the project, it would inevitably result in reduced production efficiency and increased unit costs, hindering the entry into global markets.

The Korea Aerospace Industries (KAI) is assembling the third mass-produced KF-21 aircraft at its factory in Sacheon, Gyeongnam. Photo by Joint Press Corps

At a press conference held at KAI’s headquarters in Sacheon on the same day, President Kim said, “It is critical that the 2027 budget is fully reflected,” adding, “If the project is delayed, initial investments across the board will be postponed, affecting both production capacity and unit costs.” He continued, “We currently see export potential for more than 200 units, and if the KF-21 becomes the mainstay, up to 1,000 units could be possible.” He acknowledged, “The current weakness is that we must export the aircraft equipped with foreign munitions, but we aim to overcome this by accelerating the integration of domestically produced weapons through our independent airframe platform.”

A detailed roadmap for restructuring the business model was also presented. President Kim stated, “We are striving to shift the current 70% military business ratio to an even 50:50 split between military and civilian sectors,” and mentioned plans to “change KAI’s DNA” by implementing organizational restructuring and personnel reallocations within June.

This plan is expected to take concrete shape following the rollout of the first KF-21 production unit on March 25. The KF-21 is a 4.5-generation multirole fighter, marking the fruition of a 25-year effort since Korea declared its intent to develop a domestic fighter jet in 2001. With this achievement, Korea became the eighth country in the world to develop a supersonic fighter jet. The KF-21 can fly at Mach 1.8 and is equipped with advanced systems such as an AESA radar and an infrared search and track (IRST), enabling precise air-to-air and air-to-ground strike missions.

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