Korea-RI trade deal

Korea-RI trade deal

SEOUL (Reuter): South Korea's defense ministry said it had signed a memorandum of understanding with the Indonesian government to trade military equipment.

A ministry statement said that under the initial agreement reached in Jakarta, South Korea would purchase 10 CN-235 transport planes from Indonesia for its air force from 1997 to the early 2000s. Indonesia in turn would import about US$100 million worth of tanks and military trucks, from South Korea.

It said a final agreement on bilateral trade of military equipment between the two countries was expected to be signed by the end of this year. No further details were given.