The Philippine Navy appears poised to significantly expand its surface combatant fleet, with fresh reports indicating that a deal is imminent for two additional Miguel Malvar-class frigates. According to a financial analysis released by the South Korean firm SK Securities and highlighted by defense observers on November 24, 2025, negotiations between Manila and Hyundai Heavy Industries (HHI) are in the final stages. If the timeline holds, the contract is expected to be signed before the end of December 2025, a move that would double the size of this modern frigate class and further cement South Korea’s role as the primary supplier of naval hardware to the Philippines.
This developing agreement is not an isolated purchase but a strategic continuation of the Horizon 3 phase of the Revised Armed Forces of the Philippines Modernization Program. The groundwork for this acquisition was laid back in December 2021, when the Department of National Defense signed the original USD 556 million contract for the first two ships of the class. The delivery of the lead ship, BRP Miguel Malvar (FFG-06), in December 2024, followed by the launch of the BRP Diego Silang (FFG-07) in early 2025, demonstrated HHI’s ability to deliver on time, a factor that has likely streamlined the decision to procure a second batch.
The Miguel Malvar-class represents a distinct leap in capability over previous assets in the Philippine inventory. Based on HHI’s HDF-3200 design, these ships displace roughly 3,200 tons and measure 118 meters in length. They are true multi-role combatants, designed to survive and fight in high-threat environments. The standard configuration packs a serious punch, featuring a 76mm main gun, a 16-cell Vertical Launch System (VLS) for surface-to-air missiles, anti-ship missile launchers, and torpedo tubes. Crucially, the platform includes facilities for a helicopter and a stern ramp for rigid-hulled inflatable boats, making it versatile enough for everything from anti-submarine warfare to maritime law enforcement.
However, sources close to the negotiations suggest that the two new ships will not be carbon copies of the first batch. The Philippine Navy is reportedly pushing for a suite of technical enhancements for ships three and four. These upgrades are expected to focus on the “unseen” war, specifically improved electronic warfare (EW) suites and more sensitive sonar systems for detecting modern submarines. There is also talk of an upgraded command and control architecture, which would allow these frigates to process target data more efficiently and share it with allied units. HHI has reportedly offered a “fitted-for-but-not-with” approach for some systems, allowing the ships to be delivered sooner while leaving space and power reserves for future technology insertions.
The strategic backdrop of this purchase cannot be overstated. The Philippines is currently engaged in a tense and protracted struggle to assert its sovereignty in the West Philippine Sea, facing constant gray-zone harassment from Chinese Coast Guard and maritime militia vessels. Manila is transitioning its navy from a coastal patrol force to a “blue water” navy capable of sustained operations in the open ocean. The Miguel Malvar-class provides the range, endurance, and weaponry necessary to maintain a credible presence in disputed waters, deterring aggression and protecting vital sea lanes.
For Hyundai Heavy Industries, this contract reinforces its dominance in the Southeast Asian naval market. The company previously built the Jose Rizal-class frigates, which have been in service since 2020 and 2021. By standardizing its fleet around South Korean designs, the Philippine Navy gains significant advantages in logistics, maintenance, and training. Crews trained on the Jose Rizal or the initial Miguel Malvar ships will find it much easier to transition to the new vessels, creating a pipeline of qualified personnel that is critical for a growing navy.
While the exact financial details remain under wraps, industry estimates place the value of the new contract between USD 550 million and USD 600 million per ship, factoring in inflation and the requested technical upgrades. If the signatures are inked in December as predicted, possibly coinciding with high-level diplomatic meetings between Seoul and Manila, construction could begin at HHI’s Ulsan shipyard by the second quarter of 2026. Under this aggressive schedule, the Philippine Navy could see these new warships commissioned and operational by late 2028. This acquisition serves as a clear signal that the Philippines is committed to modernizing its defenses and that South Korea remains its most trusted partner in achieving that goal.
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