The defense industry is the precious asset of national security and the syrnbol of national power and security. Developlnent of defense technology and its localization is essential. But the parts localization has been insufficient due to the lack of appropriate policies and supporting systen1s. For revitalization of parts localization of the defense product, we need the follo\ving the definition of parts localization, and revision of the related regulations, competitive participation in localization process in the early stage of main equipn1ent developn1ent, effective counter--lneasures in preparation for suspended parts, in1provement of the n1ilitary specification and standard systcm, active win-\vin cooperation between lnajor finns and slnall and lnedium business, the information sharing system for parts localization. Tbc rlVIND J should establish sc] f--defense capability by accun1ulating defense industry technology, developing weapon systen1s and equipnlent, and lnore actively encouraging parts localization. And from thc economic standpoint, it is highly necessmy that we should .ctivate research and developn1ent of n.tional defensc, airn to reach to satisfactory level of industrial competitiveness, improve the lnanagement of defense industry, and export our defcnse products to other countries.