Four K-Defense Industry Companies Make the Top 100. Can Leader Hanwha Group Break Into the Top 10?

[Financial News] Four leading South Korean defense companies have been named among the top 100 defense firms selected by a U.S. military affairs magazine. This is the second consecutive year that all four companies have appeared on the list. Hanwha Group, the top-ranked Korean company in the top 20, is drawing expectations that it could eventually break into the top 10 as its future growth engines also expand.
On Aug. 31 local time, Hanwha Group ranked 16th on the list of the 100 largest defense companies selected by a U.S. defense and security outlet. The ranking was based on last year's defense sales. Hanwha Group's total defense revenue last year reached $10.43763 billion, or about 14.3 trillion won. That was more than 50% higher than $6.81734 billion in 2024. As a result, it climbed six places from 22nd last year to 16th this year.
LIG Defense & Aerospace posted $3.02923 billion in defense sales last year, or about 4.1467 trillion won. It rose one spot from a year earlier to 52nd. Hyundai Rotem Company moved up six places to 61st, while Korea Aerospace Industries (KAI) fell eight places to 74th.
Hanwha Group, which ranks first in K-Defense Industry sales, is currently 16th among global companies, but expectations are growing that it could eventually enter the top 10. That is because, in addition to expanding exports of Hanwha Group's K9 self-propelled howitzer to Western Europe and the K239 Chunmoo multiple rocket launcher, Hanwha Ocean's naval vessel and submarine business could grow rapidly if the MASGA project, a Korea-U.S. shipbuilding cooperation initiative, gets fully underway.
Another growth driver is Hanwha Group's push to accelerate its vision of becoming a 'Korean SpaceX' after securing approval to acquire a stake in KAI. On Aug. 31, the Fair Trade Commission approved Hanwha Group's acquisition of a 15.89% stake in KAI in its merger review. If it later secures management control of KAI, it will be able to make active use of its launch vehicle, satellite and aviation capabilities.
Hanwha Group has already announced a strategy to invest 55 trillion won by 2040, together with KAI, to secure space and defense infrastructure. The plan calls for building its own launch vehicles and satellites, a space-based data center, and a low Earth orbit satellite communication network.
The world's No. 1 defense company by revenue last year was Lockheed Martin Corporation of the United States, which posted $72.1 billion, or about 100 trillion won. Attention is now turning to whether Hanwha Group can expand into the sea and space and join the ranks of major global defense companies led by Lockheed Martin Corporation.

[email protected] Kim Yun-ho Reporter