President Ha Sung-yong of Korea Aerospace Industries (KAI) has been awarded another term as the CEO of KAI as of May 4. Members at a temporary shareholders’ meeting of KAI held on May 3 at the company’s Sacheon head office in Sacheon, South Gyeongsang Province, unanimously approved the retention of the CEO for another term. The board of directors also met on May 9 to approve the decision for CEO Ha to serve a second term to head KAI.

He told reporters following his reappointment that KAI will focus on finding new growth engines for its sustainable growth for the next three decades. Ha said KAI must successfully initiate its three major objectives, including KF-X, LAH (light armed helicopter)/LCH (light combat helicopter), and T-X projects, adding that those major projects are the key to KAI’s future growth, and they’re crucial to the sustained development of the Korean aviation industry. The KF-X Project involves the development of a Korean-type fighter plane. LAH/LCH Project stands for the development of a small armored helicopter and light combat helicopter, while the T-X Project involves the development of a jet trainer to be exported to the U.S.

Ha had a string of great achievements during his first term. Last December, Ha clinched the Korean-type fighter development project, considered to be the largest weapons development project for the Korean military since the era of Dangun, the legendary leader who created the nation for the Korea people over 4,000 years ago.

The project would cost 8 trillion won for the development of a jet fighter and another 10 trillion won to produce 120 Korean-type jet fighters, bringing the total cost to over 18 trillion won until the project is completed in 2026. Ha said the KF-X Project has to be completed successfully, as it is one of the most important national projects since the successful Surion Helicopter Project. The nation’s first helicopter production project and a small armored helicopter project and the civilian helicopter project should all be completed successfully as they are important to the nation.

KAI clinched the two helicopter development projects in June last year for 1.65 trillion won, which are targeted to be finished from 2021 and 2023, with the total scale of the projects estimated to be around 7.5 trillion won.

The most important task for KAI, however, is going to be the T-X Project involving the export of jet trainers to the U.S. in partnership with Lockheed Martin, which is estimated to cost some 17 trillion won.

President Ha Sung-yong has strengthened its partnership with Lockheed Martin Corp. in order to win new aircraft export orders.

KAI announced on Feb. 17 that Ha participated in “Singapore Airshow 2016,” which takes place at the Changi Airport Exhibition Center from Feb. 16 to 21, and met Orlando Carvalho, the executive vice president of aeronautics at Lockheed Martin, pledging to work closely together to win the U.S. Air Force's T-X program.

The program, which aims to replace aging jet trainers for the United States military, could lead to some 1,000 aircraft being built worth 50 trillion won ($40.67 billion). This includes the initial batch of 350 planes worth 17 trillion won ($13.83 billion). KAI said the formal announcement for bidding is expected to be made late this year, with the final winner to be selected in the second half of 2017.

Once the T-50, which was co-developed by KAI and Lockheed Martin, is selected as the new jet trainer for the U.S. Air Force, KAI is also planning to push into the third jet trainer market. The company expects to export an additional 1,000 units. In addition, it is conducting marketing campaigns for important figures in other countries in order to additionally export its KT-1 propeller driven trainer and T-50 supersonic jet and sell its Surion chopper that has yet to win an export deal.

KAI posted 2.90 trillion won (US$2.41 billion) in sales and 285.7 billion won in operating income last year, up 26 percent and 77 percent on-year, respectively. Its new orders amounted to 10 trillion won, a whopping 416 percent rise from a year ago.

Notable is that KAI's exports accounted for 62 percent of its total sales last year, in stark contrast to its domestic sales representing 86 percent of the total in 2000.

KAI's exports are two-pronged on the whole.

One is the export of its major military planes — the T-50 jet and its advanced variants. It has shipped 56 T-50s and FA-50s worth $2.7 billion since 2011.

Buyers have included the Philippines, Iraq, Thailand and Indonesia. One African and two South American nations are also currently in negotiations to purchase the trainers.