Rolls-Royce eyes Korea’s engine maintenance market

[THE INVESTOR] Rolls-Royce, the London-based aircraft engine manufacturer, is eyeing South Korea’s aircraft maintenance, repair and overhaul or MRO service market, with flag carrier Asiana Airlines being cited as the potential partner.

According to industry sources on Aug. 1, the company has recently continued talks with local partners for the Korean entry as it is joining the government’s indigenous fighter jet program KFX.

 

Korean firms are building their own MRO complex, coinciding with the KFX project that aims to develop home-built fighters to replacing aging F-4 and F-5 jets.

One of the possible partners for Rolls-Royce is Asiana Airlines that is building an MRO complex in Cheongju, North Chungcheong Province, together with the city government. The air carrier has also used Rolls-Royce engines.

Hanwha Techwin, the engine maker affiliated with the Korean defense giant Hanwha Group, is also cited as another potential partner. The company recently signed a memorandum of understanding with Hyundai Wia, the parts maker of Hyundai Motor Group, and the nation’s sole aircraft manufacturer Korea Aerospace Industries to develop indigenous aircraft parts and carry out other related projects including MRO service.

Sources say Rolls-Royce has keen interest in entering the Korean market where demands for MRO services are expected to surge with the KFX project.

By Lee Ji-yoon (jylee@heraldcorp.com)