Malaysia weighs lawsuits after Norway revokes missile export licenses

Malaysia is weighing legal action and potential compensation claims following Norway’s decision to revoke export licenses for a naval missile system intended for installation on Malaysian military vessels.

According to BFM, the move prompted a strong reaction from Kuala Lumpur, with Malaysia’s Ministry of Foreign Affairs expressing “strong disagreement” on Thursday, May 14, and warning that the decision could impact the country’s defence readiness.

Norway’s Ministry of Foreign Affairs confirmed that part of the export licenses had been withdrawn, stating that the decision was linked to stricter controls over certain technologies.

Prime Minister Anwar Ibrahim underscored that defence contracts represent binding obligations between parties and cautioned that unilateral revisions undermine confidence in defence partnerships.

“This decision will affect the country’s operational capabilities and the coastal combat ship modernisation program,” he said.

Malaysia had originally signed a contract in 2011 for the construction of naval vessels under its coastal combat ship program, but the project has since encountered delays and was ultimately scaled down to five ships.

In response to the latest development, Malaysia’s Defence Minister announced the establishment of a special committee tasked with evaluating potential legal claims against the missile system supplier, Kongsberg Defence & Aerospace AS. The review will include possible demands for compensation for damages as well as reimbursement of funds.

By Tamilla Hasanova