Supernal, the US-based advanced air mobility (AAM) arm of Korean automaker Hyundai, announced on May 11, 2026, that it is preparing to resume work on its aircraft program after striking a partnership with Korea Aerospace Industries (KAI), the main aerospace and defense firm in South Korea.
The two firms will join forces in the development of advanced air mobility aircraft, suspended by Supernal in September 2025.
At the time, Hyundai’s air mobility subsidiary said it was pausing its electric vertical takeoff and landing (eVTOL) project to evaluate strategic options. The company also fired the bulk of its workforce, leaving only a few caretaking staff, in a move which fed speculation that Hyundai may end up discontinuing this line of business completely.
The recently announced deal appears to reactivate Hyundai’s ambitions in this space, reversing the previous course of action.
The collaborative arrangement between Supernal and KAI will see each of the parties contributing its core technical and organizational strengths.
Supernal will act as the Design Authority and Technical Lead and play a central role in defining the aircraft’s vision and requirements. It will bring to the table its expertise in the development of electrical powertrains, which draws from the knowledge acquired by Hyundai Motor Group in electric vehicle (EV) development.
KAI will leverage its core strength in developing and producing airframes at scale and managing aerospace supply chains and certification processes. The partnership also represents an opportunity for KAI to diversify its product portfolio beyond its current focus on military aircraft and drones and onto the civilian air mobility space.
Besides the technical aspects of the partnership, the two companies expect to also collaborate in the commercial sphere, with KAI supporting the commercialization of electric powertrains for aircraft being developed by Supernal.
The cooperation may extend to other areas of the business, as the two firms have pledged to evaluate future business opportunities in advanced air mobility.
This announcement follows the appointment of a new Chief Technology Officer (CTO) at Supernal, Dr. Farhan Gandhi, an expert in rotorcraft technology with decades of experience in the field.
No further details were provided by the two companies as to whether this partnership will also bring a recapitalization of Supernal and the re-hiring of staff which were either fired or furloughed in 2025 when the company paused operations.
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