[Asia Economy Reporter Park Hyungsoo] Korea Aerospace Industries is showing strong performance. This appears to be influenced by the Blue House's shift toward a tougher stance on North Korea.
As of 11:27 a.m. on the 17th, Korea Aerospace Industries is trading at 27,000 KRW, up 7.57% from the previous day.
On the 17th, regarding Kim Yo-jong, First Deputy Director of the North Korean Workers' Party, issuing a statement harshly criticizing President Moon Jae-in's remarks at the 20th anniversary event of the June 15 North-South Joint Declaration, the Blue House strongly condemned it as "an ignorant act of belittling in a rude tone."
Yoon Do-han, Senior Secretary for Public Communication at the Blue House, stated at a briefing that day, "We clearly warn that we will not tolerate the North's unreasonable behavior."
Yoon particularly said, "The North unilaterally disclosed our side's confidential proposal to send a special envoy to North Korea to resolve the current situation," adding, "This is an unprecedented irrational act and a deliberate distortion of the purpose of the special envoy proposal, for which we express strong regret."
Jeon Dong-jin, Operations Director of the Joint Chiefs of Staff, warned at the Ministry of National Defense briefing room that "If actual actions are taken, the North will definitely pay the price."
Korea Aerospace Industries set its domestic defense sales target for this year at 1.9 trillion KRW, a 36% increase from last year. The order target was set at 2.3 trillion KRW, representing a 1582% increase compared to the previous year.
Lee Jae-kwang, a researcher at Mirae Asset Daewoo, said, "Development projects such as KFX and LCH/LAH are progressing smoothly," and "It seems likely that this year's sales targets will be achieved."
He also added, "Considering the postponed additional introduction schedule of the Air Force's TA-50 and the 4th mass production schedule of Surion, the order targets are also achievable."
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