Korean Air Plans to Invest Record 70 Trillion Won in U.S.

Korean Air struck an MOU to buy 103 next-generation, high-efficiency passenger aircraft and revealed a plan to purchase 19 reserve engines and sign a maintenance service contract at Willard InterContinental Washington in Washington DC on Aug. 26. Among those on hand at the signing ceremony are (from left) Minister of Trade, Industry and Energy Kim Jung-kwan, Chmn. Cho Won-tae of Hanjin Business Group, President and CEO Stephanie Pope of Boeing Commercial Airplanes and U.S. Commerce Secretary Howard Lutnick. (Photo: Korean Air)

Korean Air announced a plan to invest 70 trillion won in the United States, the largest-ever amount, in time for the holding of Korea-U.S. summit talks.

The plan calls for introducing 103 next-generation high-efficiency aircraft worth $36.2 billion (50 trillion won) from Boeing and buying reserve engines and engine services worth $13.69 billion (19.2 trillion won) from GE Aerospace.

Korean Air held a ceremony to sign MOUs at Willard InterContinental Washington on Aug. 25 with Chmn. Cho Won-tae of Hanjin Business Group, President and CEO Stephanie Pope of Boeing Commercial Airplanes and President and CEO Russell Stokes of GE Aerospace’s Commercial Engines and Services Business in attendance.

According to Korean Air, an MOU to purchase 103 Boeing aircraft and a separate one to buy 19 reserve engines and engine maintenance services were struck during the event.

The Boeing aircraft, to be purchased by Korean Air are 20 777-9s, 25 787-10s, 50 737-10s and eight 777-8F cargo aircraft.

The aircraft is expected to be introduced on a gradual basis by the end of 2030.

With the introducing of next-generation, high-efficiency aircraft, Korean Air’s fleet will be realigned into five kinds of aircraft – Boeing 777s, 787s and 737s, Airbus’ A350s and A32-neos.

Korean Air’s decision to make investments worth the largest-ever amount may be construed as part of the Korean airliner’s efforts to establish itself as a global airliner following its merger with Asiana Airlines.

Given the trend in which major airliners have been putting in orders for aircraft at the end of the Covid pandemic, Korean Air’s plan is in line with strategies, established for the mid- and late-2030s by the Korean airliner.

A Korean Air official said, “Under the MOU, we will be able to enjoy an economy of scale through stable supply increase and simplified fleet, and Korean Air will benefit from fuel efficiency and reduction in greenhouse gas emissions through the introducing of high-efficiency new equipment and components.”

In a separate move, Korean Air plans to buy 11 aircraft and eight reserve engines from GE Aerospace and CFM International, respectively.

In particular, Korean Air will undergo engine maintenance services for 28 aircraft from GE Aerospace for 20 years.

The step is designed to ramp up collaboration with the U.S. aviation industry.

It was in April 1971 that Korean Air became the first airliner to inaugurate a regular cargo strategy departing from Seoul and heading for Los Angeles via Tokyo.

The following year, the Korean airliner opened the first-ever passenger service liner departing from Seoul and heading for Los Angeles via Tokyo and Honolulu.

Korean Air has been spearheading efforts to boost consumer convenience between the two countries through a joint-venture with Delta Air Lines in the Pacific flight route.

Korean Air Holds ‘2025 Unmanned Air Vehicle Tech Exchange Session’

Korean Air held “2025 Unmanned Air Vehicle Tech Exchange Session” at Busan Hotel Nongshim for a three-day from Sept. 4.

The latest session, celebrating the second rendition this year, took up topics, such as collaborative operation of UAVs and software and AI-based mission automation technologies.

The event was divided into three parts, each with a format of a theme presentation and free discussion.

The first part took place under the theme “Operational Concept and Development Direction of Unmanned Aireal System.”

The session discussed ways of operating Air Force’s unmanned aerial system, connecting UAVs in overseas cooperative combat and developing Korean versions.

The second part was held under the theme “Development of Next-Generation UAV Platform.” Participants shared outcomes, such as attack, small tactical unmanned combat aircraft, operational technologies of drone shipboard operation tech and development of drone engines.

The third part took place under the theme “Mission Automation Tech.” It dealt with the development direction of software and AI technologies, such as unmanned, manned, open data link, defense AI roadmap and reliability certification.

A Korean Air official, said, “We expect the technology exchange session to be a starting point of efforts to build a groundwork for practical application of Korean-type self-driving unmanned aerial system, and Korean Air will try to secure a global competitiveness in squadron, group operation and mission automation based on its development capabilities of the whole cycle of unmanned air vehicles.”