S. Korean aerospace firm loses UAE military jet trainer bid

SEOUL, Feb. 26 (Yonhap) -- South Korea's sole aerospace company failed to win a contract to supply next-generation military jet trainers to the United Arab Emirates (UAE), the government said Thursday.

The Ministry of Knowledge Economy said the T-50 made by Korea Aerospace
Industries Ltd. (KAI) lost out to the M-346 made by Italy's Alenia Aermacchi. The
UAE contract, estimated to be worth US$1.27 billion, calls for the building of 48
jets for the Middle Eastern country.
The T-50 made its maiden flight in August 2002, with the initial batch of 25
production aircraft delivered to the South Korean Air Force last year. It is
currently the only modern supersonic military jet trainer in the world.
"Italy's Alenia Aermacchi pledged a substantial support package to help the UAE
build up its nascent aerospace industry, which KAI just could not match," said
Chung Jae-hoon, head of the ministry core industry bureau said.
He did not elaborate but said Italy's close ties to the Middle East and past
military dealings gave the M-346 the winning edge.
Chung added that since the performance of the South Korean jet has been properly
tested and highly rated by experts, Seoul planned to take part in similar bids in
the future.
The official said KAI will try to win future bids that may be made by Singapore
and Poland.