A $94 million missile deal in Southeast Asia is underscoring how new suppliers are beginning to challenge established players in the global naval defense market.
LIG Defense & Aerospace, a key supplier to South Korea’s military, has secured its first overseas sale of a ship-based air defense missile system, signing an agreement with Ministry of Defence Malaysia during the DSA 2026 held in Kuala Lumpur.
The contract marks the first export of the “Haegung” missile, a short-range naval surface-to-air system designed to intercept incoming anti-ship missiles and aircraft, a capability increasingly sought by mid-sized navies facing more complex maritime threats.
The Haegung system was developed beginning in 2011 under the leadership of South Korea’s Agency for Defense Development, with LIG Defense & Aerospace serving as a primary industry partner responsible for system integration and production. The missile has since been deployed by the South Korean Navy, where it has been operationally tested as part of fleet air defense.
Under the agreement, the system will be installed on offshore patrol vessels being built for Malaysia by Turkish defense contractor STM, reflecting a broader shift toward multinational defense procurement structures in which shipbuilding and weapons systems are sourced across multiple countries.
The deal highlights South Korea’s growing role as a defense exporter, particularly in Southeast Asia, where governments are seeking to modernize naval capabilities while balancing cost and performance. It also points to a widening competitive field in naval air defense, as suppliers beyond the U.S. and Europe gain traction with domestically developed systems.
