Four South Korean defense companies — Hanwha Group, LIG Nex1, Hyundai Rotem and Korea Aerospace Industries — made the world’s 100 largest defense contractors for a second consecutive year, reflecting the industry’s growing export presence, particularly in Europe.

Hanwha climbed six places to No. 16 in the annual ranking released Monday by US publication Defense News. The list ranks companies by defense revenue from the previous year.

Hanwha’s defense revenue surged to $10.44 billion in 2025 from $6.82 billion a year earlier, accounting for 20 percent of its total sales.

LIG Nex1 rose one place to No. 52 with defense revenue of $3.03 billion, while Hyundai Rotem jumped six spots to No. 61. KAI slipped eight places to No. 74.

Lockheed Martin retained the top spot with $72.14 billion in defense revenue, followed by US contractors RTX, General Dynamics and Northrop Grumman.

Britain’s BAE Systems ranked fifth, followed by Boeing. China’s state-owned Aviation Industry Corporation of China placed seventh, ahead of L3Harris Technologies, Italy’s Leonardo and European aerospace group Airbus.

Hanwha led the rise of Korea’s defense industry through major European contracts, including deals to supply K9 self-propelled howitzers to Spain and Chunmoo multiple rocket launchers to Norway and Estonia. Hanwha Aerospace has also broken ground on its first European manufacturing facility in Romania.

Central Europe has emerged as a key market for Korean weapons systems. Poland has placed multibillion-dollar orders for Hyundai Rotem’s K2 tanks, along with extensive artillery and air defense packages from Hanwha.

The deals have positioned Korean defense companies as increasingly important suppliers for Europe’s military buildup and NATO modernization efforts.

By Byun Hye-jin (hyejin2@heraldcorp.com)