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As the war in Ukraine drags on and the situation in the Middle East rapidly deteriorates, global defense companies are enjoying prosperity, according to military news related to Russia. After the end of the Cold War, as countries reduced their arms purchases, the defense industry experienced a recession. However, in recent years, orders have been increasing due to rapidly changing international dynamics. Over the next few years, major defense companies are expected to accumulate more than a year's worth of orders.

Once again, weapon orders are accelerating. As demand increases, we find ourselves in a situation where we cannot supply on time. Among various weapon systems, fighter jets—which require the highest level of technology and production capability—are difficult to produce, resulting in very long delivery times, so there are hardly any new orders. In the past, after signing a contract to purchase fighter jets and making payment, delivery would occur within one to two years. However, recently, even for these models, the contract period generally takes at least three to four years. In the worst cases, the first delivery happens six to seven years later. We are receiving materials and transporting fighter jets, and the crisis has reached a serious level.

Fourth-generation-plus (4.5) fighter jets have been spreading around the world recently. Thanks to the craze for acquiring fighter jets, the most sold weapon is the United States' Lockheed Martin F-16 Viper. Lockheed Martin produced F-16s at the southern base in Fort Worth, Texas, in 2019. They moved production from their main business location in Fort Worth to Greenville, South Carolina, to focus on the F-35 fighter jet in the new location. They established a separate small production facility for limited quantities of F-16 production, and the original plan was to handle this in Greenville.

When the factory began operations, there were only 25 production workers. However, as orders piled up, the factory expanded rapidly. As of July, the number of workers has increased to 700, and they are focusing on fighter jet production. Although the number of workers increased 28 times, only two F-16s are being produced per month, and the factory is still expanding. By 2026, production is expected to reach four units per month. Despite anticipating an increase in production, as of the end of July, there were only 129 orders. Currently, they are producing two units per month. This means it takes more than 64 months from contract to fighter jet delivery.

In fact, the F-16 Viper signed a contract with Taiwan in August 2020 to purchase 66 units. Even after four years have passed, they have not received the fighter jets. Many countries want to buy them, but the quantities are insufficient. Due to the shortage of supply, prices are skyrocketing. For example, when South Korea purchased the KF-16 (F-16C/D Block 52) fighter jets about 20 years ago, the cost per unit was about 44 billion won. The current price is 80 million dollars per unit, which is nearly 120 billion won.

Of course, when purchasing fighter jets, logistics support and weapons are included as a package, so the actual purchase price of the fighter jet is about 1.5 to 2 times the aircraft price. For example, Slovakia recently decided to purchase 14 F-16 Vipers, and the payment price at the time of purchase was 128 million dollars per unit, about 170 billion won. Compared to South Korea purchasing F-35A fighter jets at 185 billion won per unit in 2019, this is an enormous price increase.

In this situation, the Philippines has recently begun introducing more new fighter jets. As tensions escalate in the South China Sea between the Philippines and China, President Ferdinand Marcos is seeking to strengthen the air force. The Philippines plans to acquire new multirole fighters (MRF) by selecting the KF-21 fighter jet as the first candidate in their "Acquisition of 40 Multirole Fighters Program." Other strong competitors include the F-16V, Gripen E/F, and improved FA-50 Block 20 models.

According to "Army Recognition," a global military media outlet, the Philippines is considering purchasing 12 new FA-50 Block 20s and the KF-21 Block 1 tropical package. It is reported that the Philippines has recently doubled its budget from 612 million dollars to 1 billion dollars. They are urgently considering adding 460 million dollars to deliver three KF-21 Block 1 fighters and purchase ten FA-50 Block 20 fighters. The purchase must be made within the budget of the first phase.

Since the Philippine government budget has been established, the process will proceed with full payment in cash. This means they plan to purchase South Korea's KF-21 fighter jets. Additionally, the Philippines has recently been experiencing increasingly escalating tensions. For the first time, they are introducing new models of fighter jets to respond to China's security threats. The Philippines has 12 of its own FA-50 fighter jets and is known to be researching MRFs to operate as main fighters. The KF-21 is emerging as the best alternative for the Philippine Air Force. It could be the card that instantly alleviates their concerns.

The KF-21, F-16V, and Gripen are all contenders. Unlike some engines, these are fighter jets designed as 4.5-generation from the beginning. They are models that have evolved in the process of gradually moving from 5th to 6th generation. Stealth design has been actively introduced and implemented, and the radar cross-section (RCS) is much smaller compared to other 4.5-generation fighter jets. The exact RCS of the KF-21 is classified, but it is much smaller than that of the F-16C or FA-50. Of course, it cannot be compared to 5th-generation stealth aircraft like the F-22 or F-35, but it is harder to detect than using an F-16 or Gripen.

The engine is that of a medium-weight fighter in its class, which is a strength of the KF-21. The KF-21 uses the same series of engines as the lighter FA-18E/F while carrying more fuel. It has a combat radius and excellent maneuverability—that is, a wide operational radius. Although specific figures have not been announced, the combat radius of the FA-18 is generally much wider at 1,270 km. This means that even if it takes off from Luzon Island or Palawan Island, it can fly over the disputed territorial waters of the South China Sea and carry out missions without difficulty.

In addition, the KF-21 possesses the Meteor missile, a main air-to-air weapon. Using this, targets can be attacked from a distance without needing to fly over the skies of disputed territorial waters. The Meteor missile has a range of up to 300 km, which is superior to China's current air-to-air missile, the PL-15. This is a very threatening model to Chinese fighter jets.

The Philippines can quickly acquire the KF-21 Block 1, modify it to suit tropical climates, and perform air-to-ground missions. It can continue to operate until it is able to purchase Block 2. Currently, the Philippines is focusing mainly on more powerful fighter jets such as the F-16 and Gripen. Among them, the plan to purchase the KF-21 is the most promising candidate. The continued prioritization of the KF-21 is greatly influenced by Philippine public opinion, which applauds the announcement that South Korea supports the Philippines. Let's look at the reactions of netizens.

"If Indonesia and the Philippines introduce the KF-21 fighter jet, it will be good for Thailand and Malaysia as well. Since we use the FA-50, I think the Philippines should buy the KF-21 fighter jets. I believe it's desirable to buy the KF-21 fighter jets at the same time. It would be good to upgrade 10 FA-50 fighter jets and add 10 KF-21 Boramae. The FA-50 can be mainly used for air defense support, and the KF-21 fighter jets can be stationed in Manila to effectively perform close air support and air defense missions throughout the island chain. Considering China's KF-21 and F-16V fighter jets, even if any conflict occurs, we share many systems and technologies. Considering this, it's a good combination."

"How good do you think the interoperability of the FA-50 and KF-21 fighter jets is? Considering pilot training and system interoperability, ground maintenance will also be much better. Purchase the KF-21 Boramae. If you're using Level 1 MRF, how about the F-16 or Gripen? Instead of waiting for a purchase decision, buying the KF-21 Boramae will be faster. We can deliver, so let's be the first to own the KF-21 fighter jets. Let's go!"

"This is a very practical fighter jet for the Philippine Air Force, and the FA-50 Block 20 is sufficient. PAF and AFP, don't dream any further."

Netizens in the Philippines are showing favorable reactions to Korean fighter jets. This was recently witnessed by the Philippine Air Force. In an aerial combat exercise, the Philippine FA-50 fighter jet achieved a significant victory against Thailand's Gripen. In last year's exercise, it drew an astounding response when it "shot down" the U.S. F-22, considered the world's strongest fighter jet.

Previously, Chinese fighter jets had a disastrous outcome. The fact that the FA-50 fighter jet defeated Thailand's Gripen, which had previously overpowered other fighters, demonstrated the close combat capabilities of the FA-50. Do not underestimate this duel—there are even rumors that it can be called an F-16. As a result of this exercise, news that the relationship between the Philippines and China is at a turning point of conflict has emerged.

Last July, we heard news from Australia. The Pitch Black 2022 exercise was launched. Pitch Black is a multinational joint air force exercise hosted by the Royal Australian Air Force. We have been participating since 1981, and this time we used the KF-16 2022 fighter jet. This was our second participation. This year's Pitch Black was the largest ever. About 130 aircraft from 16 countries participated, including the U.S. Air Force's F-22, the Italian Air Force's Typhoon, the French Air Force's Rafale, and the Indian Air Force's Sukhoi.

The Philippine FA-50 fighter jet won against the Royal Thai Air Force's Gripen by 10 to 7. Thailand's JAS 39 Gripen achieved great success in the exercise. News of China's crushing defeat spread, enhancing the reputation among fans.

At that time, China participated with a total of six Su-27s and J-11 fighters, previously called the Chinese version of the F-15A. Thailand deployed four Gripens, and the first score was a 0-16 loss for China. Afterwards, Thailand recorded four consecutive wins in matches like 1-2 and 3-3. Although the Gripen is a light fighter compared to China's fighters, which average over 30 tons in weight, it was still superior.

The Chinese Air Force claims that it is not a pilot problem but a performance gap in the fighter jets. However, China's PL-15 missile has an average range of 30-50 km and a hit rate of only 14%, which is shocking. This is a simple example showing how poor the performance of their radars and air-to-air missiles is.

Despite being evaluated as superior to missiles with longer range, the Gripen, overwhelmed by the Korean-made FA-50 fighter jet, still resulted in a victory for the FA-50. The fact that countries around the world are expecting upgrades to the FA-50 fighter jet is the same for the Philippines.

As a result of that battle, Philippine netizens have come to trust and applaud Korean-made weapons. Especially, the rapid delivery from South Korea plays an important role in the selection of the fighter jet project. Initially, the Philippines had the U.S. F-16V as an option. They were also watching Sweden's Gripen fighter jet, but when contracts are signed, delivery takes up to 20 years. The price is also quite expensive, so they decided to purchase the domestically produced KF-21, which began mass production not long ago, and decided to introduce it to the Philippines.

In particular, the Philippines says that while the U.S. F-16V is clearly a good fighter jet, if it arrives after the islands are handed over to China and everything is lost, it's useless. They need to be able to use their strength quickly.

Recently, it's reported that tensions are escalating due to multiple conflicts between Philippine and Chinese ships in the South China Sea. Currently, Chinese ships are deliberately entering Philippine waters as if it's their own home. According to Bloomberg on the 4th, there are 20 Chinese warships in Philippine observation points in the South China Sea in a week. They claim that three ships have been seized. This is the largest increase in a long time.

Currently, China is operating more ships than the Philippines, having numerical superiority. Chinese People's Liberation Army Navy and maritime militia ships are arriving at major locations. They are adopting a strategy to disrupt the operations of Philippine government ships and fishing vessels. Therefore, the Philippines is urgently reinforcing its military to respond.

The weapon system that best suits the Philippines' conditions is manufactured in South Korea. Now, the Philippines is also deploying troops because of China. The risk of collision has increased compared to the Philippines. Due to China, the entire country has entered a state of alert.

Malaysia is in a similar situation. China opposes Malaysia's oil and gas exploration. Recently, China tried to draw Malaysia into Borneo Island. China demanded that all activities in the area of Sarawak, rich in oil resources, be stopped, claiming it was part of China's region. Malaysia disagreed, asserting that Sarawak is Malaysian territory and that China's actions are invasive. This has taken place near the Luconia Shoals. Malaysia is rich in oil and produces natural gas, being one of the world's leaders. But now China is coveting it.

Malaysia said they wanted to resolve the conflict peacefully alongside China, but looking at China's actions now, a collision may be inevitable. So Malaysia is reinforcing its military in preparation, one aspect of which is purchasing Korean weapons.

Malaysia's Minister of Defense and military officials have announced plans to visit Korean companies such as Korean Aerospace Industries (KAI) and Hanwha Aerospace. The main topics of discussion were the additional introduction of 18 FA-50 Block 20 light fighters, the introduction of the KF-21 Boramae, and the procurement of K200 armored vehicles, and they held meetings with top executives to enhance performance. The two governments and companies have finalized the decision to introduce an additional 18 FA-50 fighter jets to Malaysia. They discussed this with Malaysia.

South Korea's defense industry is highly advanced, and soldiers who participated in the war as part of the peacekeeping forces during the South Sudan war are confident in their roles. Korea's defense industry is expanding into Europe and the Middle East. The reason Korea was able to expand is because of defense industry partners. Cooperation between Korea and Malaysia continues.

Recently, the Malaysian government signed a large-scale contract with Hanwha Aerospace to enhance the performance of the K200 armored vehicles exported 30 years ago. By securing opportunities in the Malaysian market ahead of traditional ally China, Korea is expanding its market share.

According to "Defence Channel Asia," a Malaysian defense news channel, the Malaysian Ministry of Defense specifically signed a contract with Hanwha Aerospace to enhance the operational capabilities of the K200 armored vehicles. The two companies decided to cooperate to improve the performance of the K200 armored vehicles.

After delivering 111 units in the early 1990s, these vehicles have been used for over 30 years, and an upgrade was decided. This is cooperation between Malaysia and South Korea. In 2006, the Malaysian Ministry of Defense exported a K200 armored vehicle worth about 14 billion won (approximately $10 million) to a Korean company for performance enhancement. Of the 111 vehicles, 22 were upgraded by increasing engine output from 280 horsepower to 350 horsepower and changing from a semi-automatic transmission to a fully automatic transmission.

Since then, Hanwha and the Korean Ministry of National Defense have continued to express interest to the Defense Acquisition Program Administration (DAPA) in proceeding with the K200 performance enhancement project. In May last year, Chairman Sog Jong-gun went directly to Malaysia to bid for the project. Currently, he is attending the Kuala Lumpur Defense Industry Exhibition and holding talks with the Minister of Defense to strengthen cooperation on this project.

Looking at the process, after upgrading the prototype, they will start enhancing the performance of the Malaysian Army's combat vehicles based on vehicle inspection and test results. This plan will be determined based on the scale and duration of the project. Although nothing has been decided yet, Hanwha is showing ambition to export systems by specializing in ground forces through defense weapons and global maintenance operations.

Korea is known not to discriminate between offense and defense. Outstanding military equipment in the defense sector has been used for a long time, has been verified, and is currently being manufactured in Korea. Fighter jets are taking the world by storm. Earlier this year, exports surpassed $1 billion for the first time. The FA-50 fighter jet has reached a new level.

In fact, the FA-50 fighter jet is spreading not only in Southeast Asia but also recently throughout Latin America. Following Peru, the Dominican Republic is considering purchasing the FA-50 fighter jet. Korean products are being sold in Latin America, and awareness of the fighter jet is rising rapidly. Bolstered by this increase, many countries are purchasing Korean products.

The Dominican Republic, considering the introduction of the FA-50, shares an island with Haiti. The Dominican Republic experienced multiple invasions and colonization in the 19th century, gained independence after 22 years, and has developed through the tourism industry. However, Haiti remains a very poor country suffering from violence and poverty. Haiti has always threatened the Dominican Republic.

The Dominican Republic is considering introducing the FA-50 fighter jet and deploying it in the border area to actively counter threats, much like how the Philippines is dealing with armed rebels. They say they will respond accordingly.

Local public opinion regarding the Dominican Republic's announcement was heated. It's good news for the Dominican people, but in reality, it's because Italian fighters cannot be sold to the Dominican Republic if Italy is completely defeated by Korea. They recently praised the reputation of the FA-50 fighter jet.

We are expanding our region by exporting to Africa, including Egypt. Korea's exports are receiving global acclaim. We take pride in our smooth sailing, and our military has also been strengthened. I sincerely want an independent national defense.

What Korea needs now is diplomacy. This will become the most important factor to consider. Although price volatility is still high, KAI has said that the Philippines will purchase the KF-21 at around 100 billion won per unit based on Lot 2. It's known to be anticipated in Korea as well. The KF-21's initial price delivered to the Air Force is 2.0662 trillion won for 20 units. The cost is approximately 130 billion won each. This is a low initial production level. Considering the future price, it is expected that the price will fall as quickly as possible to around 35 (million dollars).

With mass production, the unit production cost drops to $22 million per unit, which is worth over 3.3 billion won. Currently, mass production is in full swing, and if we calculate $1 at 8,000 won, the maximum price has fallen to about 120 billion won. If the price stabilizes with the official launch of KF-21 mass production, from the Philippines' standpoint, it's better than other candidate models. The KF-21 has a superior advantage in terms of performance. There's no reason not to buy such a KF-21.

If the KF-21's marketability is sufficient, what Korea should focus on is diplomacy. For example, in Norway's tank project, Korea's K2 tank surpassed Germany's tank in a comprehensive military review. However, the government overturned the decision due to political factors and chose Germany's product, considering companies related to Norway's wind power generation. In the Philippines, Korea has become a team.

We await the unification of the military with South Korean Air Force fighters. Thank you for watching the news. If you like, subscribe, and set up notifications, we can always provide you with fast and accurate defense news. Subscribers, have a great day.