The governments of the two countries signed the contract worth US$200 million in Lima on Wednesday. The aircraft are 10 KT-1 basic trainers and 10 KA-1s, a light attack aircraft version. Four will be manufactured and supplied by Korea Aerospace Industries and the rest assembled in Peru.
Korea has sought to export the KT-1 to Peru since 2007. It competed with Brazil's Emb-314, Switzerland's PC-9, and the U.S.' T-6A.
"The KT-1 was ahead in terms of price competitiveness and operational efficiency," a government official said. "But we had to overcome a lot of skepticism because Brazil has a monopolistic edge in Latin America."
Some 350 of about 860 trainer jets in Latin American countries are made in Brazil.