"From R&D to Public Procurement"... Calls for a Paradigm Shift in the Aerospace Industry

There have been calls from the industry to shift the growth axis of the aerospace sector from research and development (R&D) to public procurement. The need for comprehensive government support to participate in the international joint development of commercial aircraft has also been highlighted.

The Korea Aerospace Administration (KASA) announced on April 24 that Kyungwon Noh, Deputy Director of KASA, visited Korea Aerospace Industries (KAI) in Sacheon, Gyeongsangnam-do, where he held a meeting with KAI’s management to discuss strategies for fostering the industry. The meeting was also attended by Juhan Lee, Science and Technology Research Secretary of the Presidential Office, who inspected the production site and encouraged frontline employees.

Reference photo to aid article understanding. Kyungwon Noh, Deputy Director of Korea Aerospace Administration (KASA). Photo by Yongjun Cho jun21@

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The previous day, Secretary Lee had visited the Korea Aerospace Administration. On this day at KAI, he inspected the production process of the KF-21, the Korean fighter jet that has entered full-scale production, as well as the Surion, the domestically developed utility helicopter, which has completed performance verification and is now operated in over 200 units in Korea.

During the meeting, KAI’s management emphasized the need to restructure the industry. They argued that the space development business should be shifted from its current R&D-centered approach to a public procurement-driven model to create a viable market. In addition, they requested government-wide policy support for participating in international joint development projects for commercial aircraft.

The government stated that it intends to provide institutional support in response to these industry demands. Secretary Lee said, “The aerospace industry is a core strategic sector that will determine the nation’s future, and now is the golden time to secure long-term competitiveness. We will establish an institutional foundation so that voices from the field can be reflected in policy.”

Deputy Director Noh also expressed his commitment to incorporating these policies. He stressed, “We will actively reflect the issues raised in the field in our industrial development policies, shift our support paradigm, and promote substantive institutional improvements so that Korea can emerge as a global hub for the aerospace industry.”

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