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South Korea's Arms Sales Surge Amid Global Demand
2 Apr
Summary
- South Korean Cheongung-II system intercepted 29 of 30 missiles.
- South Korea is now NATO's second-largest weapons supplier.
- Korean systems are cheaper and faster to deliver than US ones.
South Korea's defense manufacturers are increasingly significant in the global arms market, offering alternatives to U.S. systems that face high demand. The Cheongung-II air defense system, a South Korean-made weapon, reportedly intercepted 29 out of 30 ballistic missiles and drones during recent Iranian attacks on the UAE. This success has bolstered the reputation of South Korean defense products.
Nations are seeking faster and more affordable defense options due to significant backlogs with American manufacturers. South Korea is now the second-largest supplier of weapons to NATO countries, trailing only the United States. The country aims to be the world's fourth-largest defense industry by 2030, according to President Lee Jae Myung.
Companies like LIG Nex1, maker of the Cheongung-II, and Hanwha Aerospace have seen substantial export growth. LIG Nex1's export sales increased dramatically between its 2021 and 2025 fiscal years. Hanwha Aerospace has secured multi-billion dollar deals with European nations and is expanding production facilities abroad, offering technology sharing that U.S. firms typically do not.
South Korean systems are attractive due to lower costs and quicker delivery times compared to U.S. counterparts. For instance, a Cheongung-II interceptor costs approximately $1 million, compared to $4 million for a Patriot PAC-3. This competitiveness, coupled with a history of government-supported industrial development dating back to the 1970s, positions South Korea as a formidable force in the global defense sector.
