A Cheongung missile launcher is displayed during the Seoul International Aerospace and Defense Exhibition (ADEX 2025) at Seoul Air Base in Seongnam, Gyeonggi Province, South Korea, on October 17, 2025.
Nurphoto | Nurphoto | Getty Images
South Korean defense stocks saw massive gains on Tuesday after the country’s markets returned from a public holiday, as the Iran war fuels interest in defense names globally.
Heavyweight Hanwha Aerospace, which is South Korea’s largest defense manufacturer, saw shares surge 22%, while Korea Aerospace Industries gained more than 7%.
Shares in Lignex1, maker of South Korean air defense systems, soared 30%, while Victek and Firstec, which make electronic warfare systems and anti-aircraft missile components, respectively, rose more than 25%
Ammunition manufacturer Poongsan was up 14%, while Hyundai Rotem, maker of the K2 main battle tank, was up over 12%.
The sector’s gains were in sharp contrast to the wider Kospi, which was down 2% and is currently leading losses in Asian markets.
Global defense stocks soared Monday as investors reacted to a dramatic military escalation in the Middle East.
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