KAI nears $681 million fighter jets deal with Philippines

By Kim Dong-young Posted : January 17, 2025, 16:37 Updated : January 17, 2025, 16:37
FA-50 fighter jet/ Courtesy of the Republic of Korea Air Force
 
SEOUL, January 17 (AJP) - Korea Aerospace Industries (KAI) is in the final stages of negotiations with the Philippines for a contract to supply 12 FA-50 light combat aircraft, a deal valued at approximately 40 billion pesos ($681 million), industry sources said Friday.

If completed, the agreement would double the Philippine Air Force’s fleet of FA-50 fighters, building on its initial purchase of 12 units in 2014.

The aircraft, widely regarded for their versatility and cost-effectiveness, have been a cornerstone of Manila’s air defense since their introduction.

The Philippine defense ministry revealed the ongoing discussions in its second-half 2024 procurement monitoring report, noting that the terms of reference for the deal are being finalized. Officials anticipate that the contract could be signed within the first half of 2025.

The FA-50H, an upgraded version of the FA-50 model, has proven its value in operations, including its deployment during the 2017 Marawi siege against insurgent forces.

The aircraft’s performance has made it a critical asset for the Philippine Air Force as the country seeks to modernize its defense capabilities amid rising regional tensions.

KAI has strengthened its presence in the Philippine defense sector. Last year, the company secured a performance-based logistics contract to provide maintenance, technical support, and parts management for the existing FA-50PH fleet.

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