Four Korean Defense Companies Enter 'Top 100 Sales'... "Increased Weapon Demand Due to Ukraine War"

Expansion of Market Share in Ukraine War and Others
Half of Total Sales Are from US Companies

Last year, major South Korean defense companies showed rapid growth, driven by a surge in weapons demand due to the Ukraine war and other factors.

On the 2nd, Hanwha Aerospace's multiple launch rocket system Cheonmu was exhibited at the 'Korea International Defense Industry Exhibition' held at Gyeryongdae, Chungnam. Photo by Jinhyung Kang aymsdream@

According to a report by the Stockholm International Peace Research Institute (SIPRI) on the 2nd, the combined sales of four companies?Hanwha Group, Korea Aerospace Industries (KAI), LIG Nex1, and Hyundai Rotem?last year increased by 39% compared to the previous year, reaching $11 billion (approximately 15.4 trillion KRW).

In terms of ranking, Hanwha jumped 42 places from the previous year to 24th, KAI ranked 56th, LIG Nex1 was 76th, and Hyundai Rotem placed 87th. Last year, only three companies except Hyundai Rotem were listed.

Among the top 100 companies, South Korean firms accounted for 1.7% of total sales, ranking alongside Germany in the global top 8. The United States accounted for about 50% of this share, with 41 U.S. companies including Lockheed Martin and RTX making the top 100 list.

The sales growth rate was the second highest after Russia (40% increase). The combined sales of the four companies surpassed the total sales of five Japanese companies included in the top 100, which amounted to $10 billion.

The report analyzed, "The sharp increase in weapons sales by South Korea and Japan reflects the broader picture of military buildup due to expanding regional threats," adding, "South Korean companies are trying to increase their market share in the global arms market, including demand within Europe related to the Ukraine war."

The report also explained that the global defense market expanded last year amid volatile international situations such as the Ukraine war and Middle East conflicts. Sales of weapons and military-related services by the world’s top 100 companies reached $632 billion (approximately 887.8 trillion KRW) last year, a 4.2% increase from the previous year.

This content was produced with the assistance of AI translation services.