Czech companies impressed at Korea's largest defence and aerospace fair

The South Korean market produced goods worth approximately €4.8 billion in 2021 for the traditional aerospace segment and €410 million for space technology. The focus is currently on aerospace propulsion, avionics, satellite and launcher manufacturing, the use of composite materials and the development and assembly of drones and other unmanned devices. There is also a focus on maintenance of all types of equipment, i.e. MRO (Maintenance, Repair, and Overhaul). Companies may face several pitfalls in their efforts to enter the Korean market. The market is in many ways self-sufficient, which places demands on product uniqueness. There is also a strong interdependence of local firms with the state sector, due to the importance Korea places on its defence. The resulting contracts may be state-owned, which complicates them. Finally, there is also a limited number of truly relevant local buyers - many firms target mainly export activities.

The world's top aerospace executives descended on Seoul, Korea, in mid-October. Among them was also a selection of seven Czech entities from this sector. The economic diplomacy project financed by the Ministry of Industry and Trade this year focused not only on the traditional aerospace industry, but also on space technologies. South Korea has set ambitious goals in the space industry, and its determination is evidenced by the successful launch of its own rocket with the Danuri probe to the moon in 2022. A range of advanced products were therefore on display - from launchers to satellites.

The mission of the Czech companies was met with great interest from the companies present, both from Korea and from other Asian and non-Asian destinations. Our partner was the Korea Aerospace Industries Association (KAIA) as one of the largest Korean associations of aerospace companies and one of the organizers of the Seoul ADEX. It was in cooperation with KAIA that Czech companies were given the opportunity to deal with a number of companies and institutions that are among the leaders in their field - among them, for example, industry giants such as Korean Air, LIG or Boeing, or the Korea Aerospace Research Institute (KARI for short) and representatives of local governments where major aerospace industries are located. "Our companies have shown that they have a chance to compete in a market as complex and mature as Korea's. I believe that this mission is the beginning of the future success of our exporters and Czech-Korean cooperation, which will only deepen in this area," said the new Czech Ambassador to Korea Ivan Jančárek, who also supported Czech companies at the event.

In addition to arranging meetings, the Czech Embassy helped with a number of services, such as providing interpretation, which is often necessary in this remote Asian destination. Such help with overcoming the language barrier was praised, for example, by Mrs. Fišová from PBS. "We very much appreciate the interpretation service provided by the Embassy. During frequent meetings with Korean partners, such assistance was very useful for us," she said.

Further important information on this sector of the Korean market can be obtained from the links below:

1. Korea Aerospace Industries Association: https://aerospace.or.kr/eng/main/main.php

2. Korea Trade Promotion Corporation: http://dl.kotra.or.kr/pyxis-api/1/digital-files/c16960f0-0735-018a-e053-b46464899664

3. Invest Korea: https://www.investkorea.org/ik-en/cntnts/i-314/web.do

If interested, Czech companies can contact the Commercial Department of the Czech Embassy in Seoul at: commerce_seoul@mzv.cz.

^{Jakub Kopecký, head of the commercial department of the Embassy of the Czech Republic in Seoul}

Prezentace českých společností

Prezentace českých společností

Prezentace českých společností