KAI president offers to resign on Day 1 of Lee administration

Kang Goo-young, CEO of Korea Aerospace Industries (KAI), expressed his intention to resign on Wednesday, the same day President Lee Jae-myung was inaugurated.

KAI CEO Kang Goo-young

According to the nation’s sole aircraft manufacturer, Kang informed the Export-Import Bank of Korea (Korea Eximbank) — KAI’s largest shareholder — that he would step down once a successor is appointed.

Given that the government holds more than a 35 percent stake in KAI and the defense industry is particularly sensitive to shifts in government policy, it has been customary for the company’s top executive to be replaced with each change of administration.

Kang, 66, is the first former Air Force pilot to serve as CEO in KAI’s history. His three-year term is set to end in September.

A graduate of the Republic of Korea Air Force Academy, Kang previously served as commander of the Fifth Air Mobility Wing and as deputy chief of staff of the Air Force.

He also played a key role in the development of homegrown jet trainers, including the KT-1 basic training aircraft and the T-50 supersonic advanced trainer.

During the 2022 presidential election, Kang supported then-candidate Yoon Suk Yeol by serving as operations director of a forum composed of retired military personnel endorsing Yoon’s campaign.

Meanwhile, KAI has signed a deal with the Philippine defense ministry to export 12 FA-50 light attack fighters, according to the Defense Acquisition Program Administration.

The $700 million deal signed on Tuesday marks the second round of FA-50 exports to Manila, following an initial supply of 12 jets in 2014.

The FA-50 has been exported to six countries so far: Indonesia, Iraq, Malaysia, Poland, Thailand and the Philippines.