BAE Systems yesterday spelled out what it could bring to the party as South Korea's restructured aerospace industry looks for a foreign investor to take an equity stake in its future.
Lockheed Martin expressed optimism three days ago on its chances of being selected as the foreign investor for the infant Korean Aerospace Industries (KAI), citing its partnership with South Korean companies in the KT-1 trainer and the proposed KTX-2 fighter programmes as important advantages in its bid, which is being made with France's Aerospatiale Matra.
BAE Systems has linked up with Boeing to bid to become South Korea's partner; they are now conducting due diligence on KAI.
Mark Ritson, BAE Systems' director, public relations, Asia speaks highly of South Korean abilities in the aerospace sector.
He points out that the Republic of Korea Air Force (RoKAF), which has operated his company's Hawk jet trainers for 10 years, has the highest maintenance reliability record of any operator of the type, including the UK Royal Air Force.
South Korean companies also produce components for major European and US manufacturers and: "There are no problems with the quality of what they do, it's getting competitive in doing it."
BAE Systems, he says, has considerable experience of the type of skills KAI needs: "Even our most avid competitors would say that, in terms of restructuring and production processes, BAE is ahead of the game."
Territory
And, with KAI looking outward from its home territory, BAE could offer a considerable track record in marketing: "More than 90% of our sales are exports, which far exceeds anything that anyone else can bring to the table.
"Anything in terms of work we put into KAI won't be piecemeal metal-bashing, it will be high-value, high-technology activity."
Tapping into transferred technologies can give KAI world-class abilities in certain sectors, he believes.
While Lockheed Martin is offering its involvement in the KTX-2 as a trump card, together with the RoKAF's use of the F-16 Fighting Falcon, he believes BAE Systems can offer two fourth-generation fighters in the Eurofighter Typhoon and Saab Gripen, which have decades of service, potential exports and workshare in front of them.
Source: Flight Daily News
