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Philippines Set to Finalize Missile Deal with India Amid Growing Tensions with China.
India is set to finalize a major defense contract with the Philippines, valued at over $200 million, for the sale of its short-range Akash missile system. Sources close to the matter indicate that the deal is expected to be finalized in the fiscal year beginning in April 2025. This information was provided by Reuters. This would mark the second major defense export contract between India and Manila, highlighting the growing defense cooperation between the two nations in the context of escalating tensions with China.
The Akash missile system, developed by India's Defense Research and Development Organization (DRDO), is a surface-to-air missile with a range of up to 25 kilometers. (Picture source: Indian MoD)
The Akash missile system, developed by India's Defense Research and Development Organization (DRDO), is a surface-to-air missile with a range of up to 25 kilometers. It has already attracted international interest, including a contract with Armenia in 2024 valued at $230 million. The acquisition by the Philippines is expected to exceed this contract, although the exact number of missiles and associated systems, such as radars, has not been disclosed.
Bharat Dynamics Ltd (BDL) of India, the manufacturer of the Akash missiles, participated in the Asian Defense and Security Exhibition in Manila in 2024, further strengthening its presence in the region. However, neither the company nor the Indian Ministry of Defense has yet commented officially on the contract.
Although the Philippine Secretary of Defense, Arsenio Andolong, refrained from commenting on the specifics of the acquisition, he acknowledged that the country’s armed forces had expressed the need for advanced missile capabilities. This sale follows India’s 2022 sale of BrahMos supersonic cruise missiles to the Philippines for $375 million, further strengthening defense ties between the two countries.
The Philippines is actively modernizing its armed forces to strengthen its defensive posture, particularly due to the growing tensions with China over disputed territories in the South China Sea. Overlapping territorial claims in the region have led to several confrontations between the two nations, prompting the Philippines to enhance its military capabilities.
This potential sale is part of a broader strategy by India to increase its defense exports and reduce its reliance on foreign arms imports, a shift that has accelerated since the border conflict with China in 2020. Since then, India has ramped up its domestic defense production, with defense exports increasing by nearly 150% since 2020, reaching over $2.4 billion for the fiscal year ending in March 2024.
Despite this growth, India's arms trade remains lower than that of countries like South Korea and Australia, and far behind China, the world’s fourth-largest arms exporter.
The Philippines' military modernization efforts are also expected to include additional BrahMos systems and potential submarines. General Romeo Brawner, chief of the Philippine Armed Forces, confirmed that the country is seeking to enhance its arsenal in the coming years, although he did not mention the Akash missile system in his statements.
As geopolitical tensions in the region intensify, the Philippines' defense acquisitions from India signal a strengthening of strategic ties between the two nations, both seeking to improve their military capabilities in the face of growing security challenges posed by China.