Korea Aerospace Industries plans to expand into the MRO market, having submitted a business plan to local authorities to establish the new operation.
KAI says that the business plan was filed with the governments of Sacheon city and South Gyeongsang province.
Responding to queries from FlightGlobal, the company was unable to disclose the planned capabilities of its MRO unit, or when the business is expected to be launched.
A report by state news agency Yonhap says that the business plan would see KAI initially build a 30,000 square metre facility that could be expanded on later. It is expected to have fuselage, hydraulic system and landing gear MRO capabilities.
KAI will reportedly invest W510 billion ($446 million) in the project, while the city and provincial governments will pump in W90 billion. Seoul will inject a further W100 billion.
Korea's ministry of land, infrastructure and transport is expected to conduct a "preliminary feasibility study" on the business plan before the end of the year.
Source: Cirium Dashboard
