Boeing plans to outsource production of its 737 empennages to South Korea to help meet an offset requirement stemming from the country's purchase of F-15K fighters. Industry sources say Boeing and Korea Aerospace Industries (KAI) are negotiating a contract covering the supply of vertical fins and horizontal stabilisers for 737-600/700/800/900s which could be signed next week at the Korea air show in Busan. Boeing now sources these parts in the USA and China. Shanghai Aircraft and Xi'an Aircraft will continue to produce 737 horizontal stabilisers and vertical fins, but Boeing is considering phasing out in-house production of these parts.
The empennage contract is the last piece of offset work Boeing is awarding KAI as part of the $4.2 billion F-15K purchase. KAI also supplies fuselages for Apache helicopters and forward fuselages and wings for F-15Ks. It will also produce fuselages and wings for other F-15s sold in Asia.
Source: Flight International
