SEOUL, Nov. 23 (UPI) -- Indonesia is to participate in South Korea's KF-X program to develop a new jet fighter by the year 2025, South Korean newspapers report.
Korea Aerospace Industries, chosen by the government as prime contractor for the fighter program, signed a preliminary contract Sunday with the Indonesian government through which Jakarta would provide 20 percent – about $1.5 billion -- of the project's cost, The Korea Herald reported.
A separate contract was signed with state-run PT Dirgantara Indonesia for participation in the design of the plane and component production, the Korea Times said.
"All the specifics have been agreed upon with the Indonesian side, regarding the KF-X development," Jang Sung-sub, director of KAI, told The Korean Herald.
The KF-X project, or Korean Fighter Experimental program, is to develop a multi-role combat plane to replace South Korea's F-4 and F-5 aircraft. Seoul plans to purchase 120 of the jets and also sell them on the international market.
Under the new deal, Indonesia will be able to acquire 50 of the new planes. Technology would also be transferred to Indonesia.
