Hanwha Aerospace and Korea Aerospace Industries (KAI) have agreed to jointly pursue future defence and aerospace initiatives as part of a broader effort to enhance South Korea’s position in the global aerospace market.
The companies formalized the partnership through a memorandum of understanding signed on February 5 in Seoul, Aju Business Daily reported. The MoU outlines cooperation in the development of unmanned aerial systems and domestically produced aircraft engines, as well as efforts to enter the international commercial space sector.
Under the agreement, Hanwha and KAI will collaborate on research, development, and export activities across multiple future systems. This includes work toward an advanced engine intended for next-generation combat aircraft that could replace the KF-21 fighter in the longer term.
To ensure alignment on long-range objectives, the two firms plan to establish a Future Aerospace Strategy Committee involving senior leadership from both companies.
The partnership comes as South Korea’s defence industry continues to expand collaboration with global partners. In 2023, the country teamed up with Boeing to pursue joint R&D in advanced weapons and high-altitude, long-endurance unmanned platforms. In 2025, Embraer and the Defense Acquisition Program Administration agreed to strengthen cooperation in manufacturing, technology exchange, and market development. That same year, KAI also entered a strategic partnership with Kratos Defense & Security Solutions to co-develop manned-unmanned teaming technologies for future combat aircraft.
