South Korea Could Scrap 36 Apache Helicopter Buy Due to Budget Cuts

South Korea’s plan to purchase 36 additional AH-64E Apache attack helicopters from the United States is likely to be scrapped following a sharp budget cut, according to opposition lawmaker Yoo Yong-won.

Yoo, of the People Power Party, said on Sunday that the National Assembly’s recently passed supplementary budget slashed funding for the project from 10 billion won ($7.3 million) to just 300 million won. He noted that the remaining funds would likely be redirected to other defense initiatives.

The move follows a May 2025 decision by South Korea’s Joint Chiefs of Staff to formally review the Apache acquisition and consider alternatives, including manned-unmanned teaming systems and drone-based platforms.

In August 2024, the U.S. State Department approved a potential $3.5 billion sale of 36 AH-64Es to South Korea, including 76 engines and hundreds of AGM-114 Hellfire missiles. The helicopters were intended to double South Korea’s Apache fleet to 72 and replace aging AH-1S Cobras in Army service.

However, the Ministry of Defense has expressed concerns over the rising cost and operational efficiency of acquiring more Apaches. Officials said changing battlefield dynamics, particularly lessons from the war in Ukraine, have raised questions about the role of attack helicopters.

Yoo called the reassessment a “positive development,” pointing to the U.S. Army’s shift away from Apaches in favor of unmanned systems like the MQ-1C Gray Eagle.

The helicopter acquisition was originally announced by South Korea’s Defense Acquisition Program Administration in 2021, with 3.2 trillion won ($2.3 billion) earmarked as a follow-on to the country’s first Apache purchase from 2012–2021. That initial $1.6 billion deal included 36 AH-64Es, Hellfire missiles, Stinger MANPADS, crew training, and support systems.

South Korea’s current AH-64Es are equipped with Longbow radars, digital fire control, and systems for integration with unmanned platforms like the RQ-7 Shadow. They also feature missile warning and countermeasure systems for operations in contested airspace.

Despite the likely cancellation, South Korea’s industrial cooperation with Boeing continues. Korea Aerospace Industries (KAI) recently signed a contract to produce fuselages for the AH-64E Apache Guardian.