Korean Air Co. has partnered with defense contractor LIG Nex1 Co. to compete for a ₩1.78 trillion ($1.26 billion) government contract to develop electronic warfare aircraft for South Korea’s Air Force, the airline announced Thursday.
The consortium plans to submit its final proposal in early September for the Block-I System Development Project, which would modify foreign-made commercial aircraft to carry electromagnetic warfare equipment capable of jamming enemy communications and radar systems during conflicts.
If selected as the prime contractor, Korean Air would handle system integration and aircraft modification, while LIG Nex1 would develop the electronic warfare systems. The project will use a Bombardier Global 6500 business jet as the platform, similar to the U.S. Air Force’s EA-37B electronic attack aircraft.
The bid represents Korean Air’s latest attempt to capitalize on rising defense spending. The carrier’s aerospace division has seen steady revenue growth, reaching ₩593 billion ($420 million) in 2024, up from ₩366.6 billion in 2021. In April, the company secured a ₩961.3 billion ($672 million) contract to upgrade 36 UH-60 Black Hawk helicopters.
However, Korean Air faces competition for the electronic warfare project, with the selection process still ongoing. LIG Nex1 recently competed against rival Hanwha Systems for other major defense contracts, highlighting the competitive nature of South Korea’s expanding military modernization efforts.
The project reflects Seoul’s broader push to enhance indigenous defense capabilities as regional security concerns mount.
