Seoul: Hanwha Aerospace Co. announced on Thursday that it has secured a 623.2 billion-won (approximately US$459.3 million) follow-up contract with South Korea's state defense procurement agency to supply engines for the upcoming KF-21 fighter jets.
According to Yonhap News Agency, this agreement with the Defense Acquisition Program Administration (DAPA) adds to a previous engine supply deal valued at 556.2 billion won signed a year prior. This brings the total contract value to an impressive 1.18 trillion won. Under the new contract, Hanwha Aerospace is set to deliver 80 units of F414 engines for the first mass-produced batch of KF-21 jets by December 2028. The deal further encompasses logistics support, including maintenance parts, technical manuals, and on-site technical assistance.
Hanwha Aerospace has been a significant player in South Korea's military aviation projects, having produced over 10,000 engines for aircraft such as the KF-5, KF-16, and F-15K since 1979. To enhance its capabilities in high-tech engine manufacturing, the company has invested 40 billion won in constructing a smart factory dedicated to jet engine production.
In a statement, the company asserted, "With our advanced aviation engine technology, we will ensure timely delivery of KF-21 engines and continue to contribute to the development of next-generation propulsion systems for national defense."
The KF-21 development program was initiated by South Korea in 2015, aiming to develop an indigenous supersonic fighter jet to replace the aging fleet of F-4 and F-5 jets. The deployment of the KF-21 is slated to commence by 2028.