Fair Trade Commission clears Hanwha's 15.89% KAI stake but flags new review if control changes

The Korea Fair Trade Commission approved Hanwha Group's combined 15.89% stake in Korea Aerospace Industries on August 31, 2026, concluding that Hanwha cannot currently exercise sole control over KAI. The holding comprises 9.90% at Hanwha Aerospace, 4.98% at Hanwha Systems, and 1.01% at Hanwha Aerospace USA; the Export-Import Bank of Korea remains the largest shareholder at 26.41%. The regulator said a fresh business-combination review will be required if Hanwha becomes the largest shareholder, secures the CEO position, or takes more than one-third of board seats. The decision removes the immediate antitrust obstacle to Hanwha's vertical alignment with KAI, which it supplies with engines, radar, avionics, and weapons, while KAI's union continues to oppose any management participation.