Defense Companies Say "Philippines Over Failed DX Korea" [Yang Nakgyu's Defence Club]

On-site Report from the Philippines ADAS Defense Exhibition
Domestic Defense Giants Abandon DX Korea to Focus on Exports

"FA-50 participated in Pitch Black, directly confirming the aircraft's excellence, stability, and reliability. The KF-21, which boasts both performance and cost competitiveness, is also being eyed as a candidate for the next project." (Ireneo Espino, Senior Undersecretary of the Philippine Department of National Defense)

"After successfully completing live-fire training of the ‘Haeseong’ missile during the Balikatan exercises, interest in the higher-spec ‘Haegung’ missile has also increased. During the RIMPAC exercises, the frigates delivered by HD Hyundai Heavy Industries were deployed in actual operations, verifying their combat capabilities." (Toribio Adaci, Commander of the Philippine Navy)

The atmosphere was intense at the ‘Asian Defense and Security Exhibition (ADAS) 2024,’ which opened on the 25th at the World Trade Center in Manila, Philippines. It seemed to reflect the rapidly changing global security environment. Especially, high-ranking Philippine military officials visiting the booths of Korean companies continuously shared positive feedback about K-defense. It was a scene that truly demonstrated the ‘Philippine wave of Korean defense.’ This exhibition featured six Korean company booths, including Korea Aerospace Industries (KAI), Hanwha Aerospace, Hanwha Ocean, Hanwha Systems (the three Hanwha Group defense affiliates operating a joint booth), LIG Nex1, HD Hyundai Heavy Industries, as well as armored vehicle manufacturer Kobico and rifle specialist Dasan Gikong.

Air Force Chief of Staff Lee Young-soo, who represented the Korean government and military at the exhibition, said, "I met with several officials including the Philippine Deputy Defense Secretary and Air Force Commander, and visited units operating the FA-50 to talk with pilots. I felt firsthand the high trust in Korean weapon systems and confirmed a consensus that there are many areas where the army, navy, and air force of both countries can cooperate." On the same day, Chief Lee also had a conversation lasting over an hour with the Philippine Air Force Chief of Staff and KAI President Kang Gu-young at the KAI booth.

The Philippines' trust in K-defense stems from experience. The Philippines, which has been conducting a military modernization project for a long 15 years since 2013, is a major buyer of K-defense. Starting with the acquisition of 12 domestically developed FA-50 fighter jets by KAI in 2015, the Philippines received one frigate each from HD Hyundai Heavy Industries in 2020 and 2021. HD Hyundai Heavy Industries has secured orders for 10 vessels from the Philippines to date. LIG Nex1 also supplied the anti-submarine lightweight torpedo ‘Cheongsang-eo’ and the ship-to-ship missile ‘Haeseong’ to the Philippines. The core forces of the Philippine Air Force and Navy are thus equipped with K-defense systems. As a result, according to the ‘2023 World Arms Trade Report’ published by the Stockholm International Peace Research Institute (SIPRI) in March this year, the Philippines accounted for 19% of K-defense exports over the past five years, ranking second after Poland (27%) as the country importing the most Korean-made weapons.

The Philippines realized the excellence of K-defense through the 2017 Marawi battle against Islamic extremist rebels and various training exercises. This is why Korean companies are inevitably being closely watched in the ongoing third phase (2023?28) of the force enhancement project.

Especially amid territorial disputes with China in the South China Sea, the Philippines is considering acquiring advanced weapons for maritime defense such as submarines and high-spec guided weapons in the third phase project. Hanwha Ocean has made a strategic move with submarines tailored for the Philippines. Based on the Korean Navy’s latest Jangbogo-III Batch-II submarines, they proposed 2,800-ton and 1,400-ton submarines modified to suit Philippine operational needs. Following the 2011 export to Indonesia, the focus is now on the Philippines. Although the Philippine government has postponed the submarine acquisition project due to budget constraints, a senior Philippine Navy official who visited the Hanwha booth emphasized the importance of the project, stating, "In the current security environment faced by the Philippines, submarines could be a revolutionary solution as an asymmetric force."

LIG Nex1 plans to expand exports to the Philippines with ship-to-ship and surface-to-air interception systems such as Haegung, Shingung, and Cheongung II, following the Philippine military’s first successful live-fire guided missile hit with Haeseong. On the 26th, LIG Nex1 also produced and presented a commemorative plaque to the Philippine Navy celebrating the success of the Haeseong live-fire exercise.

Hanwha Aerospace knocked on the Philippine market door with the multiple launch rocket system (MLRS) ‘Cheonmu,’ while Hanwha Systems, which has previously exported combat systems and tactical data links, presented a new vision to the Philippine Navy with the unmanned surface vessel ‘Haeryeong’ and maritime manned-unmanned combined systems.

KAI President Kang is personally leading efforts on-site to accelerate additional FA-50 exports. The Philippine Air Force has mentioned a long-term purchase requirement of 24 FA-50s. The FA-50’s status in the Philippines has reached its peak after its performance in the Marawi battle and its decisive victory in dogfights against the Swedish Saab 4.5-generation fighter JAS-39 ‘Gripen’ during last month’s joint air exercise ‘Pitch Black’ held in Australia. Riding this momentum, there is growing expectation that the KF-21 will be able to compete on equal footing with the Gripen in the upcoming multi-role fighter project.

The ‘Korean wave’ in defense in the Philippines is preparing to expand its reach to Southeast Asia. In fact, at the event venue, generals from various Southeast Asian countries including Thailand and Cambodia spent considerable time visiting Korean company booths. Joo Won-ho, Vice President and Head of HD Hyundai Heavy Industries’ Special Ship Business, said, "Building on the strategic partnership with the Philippines that covers everything from shipbuilding to maintenance (MRO), we will actively pursue expanding ship orders in the Southeast Asian region and further promote a globalization strategy for ship exports."