KAI secures $1.1 bn deal to mass-produce light-armed helicopters

Korea Aerospace Industries Ltd. (KAI), the sole military aircraft manufacturer in the country, announced on Wednesday that it has signed a contract with the Defense Acquisition Program Administration for the second batch of the Army's light-armed helicopter (LAH).

The contract amount is a total of 1,405.3 billion won ($1.09 billion), equivalent to 50.4% of last year's revenue.

The second contract quantity is scheduled for delivery from the fourth quarter of 2025 to December 2028.

KAI signed the initial mass-production contract for LAH at the end of last year, with a contract amount of 302 billion won ($233 million).

LAH is the second homegrown developed helicopter using home-grown technology, following the first Korean-made light utility helicopter Surion, deployed in 2012.

LAH is designed to perform missions such as the Army's aerial assault operations and air support for ground troops, replacing the aging 500MD TOW and AH-1S Cobra Helicopters.

Equipped with advanced avionics such as Smart Multi-functional Display (SMFD) and Integrated Digital Map Computer (IDMC), LAH operates weaponry including a 20 mm turret gun and air-to-ground missiles.

KAI plans to focus on the development of derivative helicopters capable of various missions, such as special operations attack helicopters and command and control helicopters, based on the LAH platform to enhance its versatility.

Write to Mi-Sun Kang at misunny@hankyung.com