Korea-Indonesia Vice Minister 'Strategic Dialogue'... Ensuring Smooth Completion of KF-21 Project"

Request for Active Cooperation in Next-Generation Fighter Joint Development Project
Indonesia Issues Including Suspension of Contribution Payments
Discussion on Strengthening Cooperation in the Resource Sector

Kim Hong-kyun, First Vice Foreign Minister of the Ministry of Foreign Affairs, on the 13th, during the '2nd Korea-Indonesia Vice Ministerial Strategic Dialogue' with Pahala Nugraha Mansury, Indonesian Vice Foreign Minister, requested active cooperation to ensure the smooth completion of the next-generation fighter joint development project (KF-21/IF-X). The Ministry of Foreign Affairs stated, "The Indonesian side also expressed their commitment to actively work towards the smooth completion of the next-generation fighter joint development project."

On the 17th, the domestically produced supersonic fighter jet KF-21 was unveiled at the 'Seoul International Aerospace and Defense Exhibition (ADEX) 2023' held at Seoul Airport in Seongnam, Gyeonggi Province. Photo by Jinhyung Kang aymsdream@

Indonesia signed a weapons trade contract with Korea Aerospace Industries (KAI) in 2016. They agreed to bear about 20% of the KF-21 development cost, approximately 1.7 trillion KRW, by 2026. However, citing budget shortages and other reasons, they suspended the payment of their share and have not properly paid it to date. The overdue amount has reached about 1 trillion KRW.

Additionally, last month, Indonesian technicians working at KAI were caught attempting to leak KF-21 data. They are currently under police investigation.

The vice ministers of both countries agreed to faithfully implement follow-up measures to the existing summit agreements. In particular, Vice Minister Kim expressed hope to strengthen cooperation in building the electric vehicle ecosystem, batteries, and critical mineral supply chains, as Indonesia is a key economic security partner in ASEAN. Indonesia is a 'resource-rich country,' ranking first in the world in nickel reserves and production. They also discussed cooperation related to the situation on the Korean Peninsula and the Indo-Pacific region.