Norway Revokes NSM Export, Deepening Malaysia Defence Crisis

In March 2026 Norway’s foreign ministry withdrew export licences for the Naval Strike Missile (NSM) system and its launchers, halting delivery to the Royal Malaysian Navy. The missiles were slated for Malaysia’s littoral combat ship (LCS) programme, and the revocation came days before the scheduled shipment.

Malaysia protests Norway's NSM missile export revocationReutersEuronewsThe Defense PostSouth China Morning PostChannel News Asia - CNA

Malaysia signed a contract with Kongsberg Defence & Aerospace in April 2018 for NSM missiles for six LCS vessels; Reuters lists €124 million (US$145 million) while Aerotime cites US$146 million (?RM571.9 million). The LCS programme, launched in 2011 with a 6 billion-ringgit budget for six frigates, was trimmed in 2023 to five ships after delays. The first ship, LCS 1 Maharaja Lela, now expected in December 2026, was due in August 2026.

Malaysia protests Norway's NSM missile export revocation

Malaysia has paid nearly 95 % of the contract price. The NSM offers a range of over 300 km and was intended for six LCS vessels, with a second order for two additional ships.

Malaysia protests Norway's NSM missile export revocation

The NSM loss jeopardises the readiness of Malaysia’s modernised frigates and could shift the regional security balance, while raising doubts about the reliability of European defence suppliers when contracts are unilaterally rescinded.

The Defense Post

Malaysia called the revocation “unilateral and unacceptable,” warning of grave consequences for defence readiness and regional stability. Norway said the move reflected stricter controls on certain technologies and declined comment on individual contracts.

The Defense Post

Spokesman Fahmi Fadzil called Norway’s action “deeply disappointing” and said Malaysia “cannot accept the reasons given,” stressing defence planning must not be compromised.

South China Morning Post

Reuters cites the contract at €124 million (US$145 million) while Aerotime lists US$146 million (?RM571.9 million). Both agree Malaysia has paid roughly 95 % of the amount.

Reuters

• “Norway, it appears, has not felt compelled to extend us the same courtesy and demonstration of good faith.” — Anwar Ibrahim, Prime Minister of Malaysia

Channel News Asia - CNA

• “We are doing the computation right now - we would not only claim the amount that we have paid, but also the damages arising from the breach of contract,” — Mohamed Khaled Nordin, Defence Minister of Malaysia

Reuters

• “The Malaysian government is deeply disappointed by the Norwegian government’s action in not approving the export permit for the procurement of a missile series at the last minute,” — Fahmi Fadzil, Government Spokesman

South China Morning Post

• “certain weapons export licenses to Malaysia had been revoked,” — Norwegian Ministry of Foreign Affairs

The Defense Post

Malaysia will file a legal claim for compensation and damages, and Defence Minister Nordin will seek clarification from Oslo. A bilateral meeting in Singapore later in May will discuss the dispute while Malaysia evaluates alternative missile systems for its LCS fleet.

Malaysia protests Norway's NSM missile export revocation