Indonesia Reportedly Will Reduce Payments for New KF-21 Fighter Jets
It appears Indonesia is getting cold feet in regards to boosting their Air Force capabilities with new fighter jets from South Korea:
Indonesia has proposed reducing its payment for a joint fighter jet development project with South Korea to around one-third of its original amount, sources said Monday, amid concerns over its delayed payments.
Indonesia recently suggested paying only 600 billion won (US$442.3 million) in total for the KF-21 jet project, they said, after originally agreeing to pay about 20 percent of the 8.1 trillion-won program launched in 2015 to build the advanced supersonic fighter by 2026.
Jakarta had initially agreed to pay the sum in return for receiving one prototype model and technology transfers, and producing 48 units in Indonesia, but is said to have proposed reducing the payment amount for fewer technology transfers.
It has so far contributed around 300 billion won to the project and has failed to keep up with payment deadlines, leading to questions over its commitment.
Indonesia is known to have asked South Korea late last year to defer its payment for the project to 2034, but Seoul has maintained its stance that it should be made by the development deadline of 2026.
Yonhap
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Indonesia has only paid $300 million out of $1.5 billion they owe. They should have paid the money in 2020, but this absolutely worthless Korean government let Indonesia off the hook, breaking their contract over and over. KAI officials kept negotiating with them, giving in each time, with more and more concessions. They should have been kicked out of the project when they didn’t pay, but the weak-kneed Korean side constantly gave in, with each time Indonedia promising to pay but pleading poverty. In the meanwhile, Indonesia bought used French jets, French subs, and tried to buy F15’s. Indonesia also owes Daewoo $3 billion for the submarines which they ordered and failed to take delivery. Indonesia also failed to pay for the T-50 jets that they bought from South Korea. Each time, the weak-assed Korean side gave in and looked the other way. This is another example of a total failure in foreign policy leadership in the Korean government (I’m also talking about Moon and Yoon governments) – they should have called the KAI execs and gave them the riot acts, and should have made their displeasures with Indonesia – but these weak-a$$ed idiots let foreign countries walk all over them. These are the times when I wished we had Park Jung Hee back. He was brutal dictator but at least he didn’t let other countries walk all over his country.
The two Indonesian technicians who were part of the hundreds of Indonesian technicians dispatched to Korea as partners, were recently caught trying to smuggle out-of-the-country, blueprints of the KF-21. They are arrested, and charged with spying. The thing is, there are evidence that they’ve been spying since 2016, ever since they were dispatched to Korea, and that is why Indonesia didn’t pay their end of the bargain. Why pay for something when they can just steal for free?
The thing with this IP theft is that this doesn’t affect South Korea. It will also affect the US, as many of the secrets involve US tech transfers to South Korea that Indonesia had no rights to access. Indonsia just recently called their new fighter project – the IFX project. I can guess where they got their intellectual content from. Indonesia also wanted to partner with Turkey – I guess they can sell the secrets to Turkey. And even worse, is the entry of China – considering how much friendship there is with China and Indonesia. This is why you don’t partner with poor, unreliable partners who have poor credit risks. Which Korean administration OKayed this? Park Geun Hye.