Japan’s RM40 Million Counter-Drone System To Be Deployed In Sepanggar And Labuan

KUALA LUMPUR, Oct 24 – The Malaysian Armed Forces (MAF) will deploy a RM40 million (¥1.65 billion) counter-unmanned aerial system (C-UAS) supplied by Japan across strategic maritime locations, including Sepanggar in Kota Kinabalu and Labuan, to bolster regional security capabilities.

Defence Minister Datuk Seri Mohamed Khaled Nordin confirmed the deployment strategy after officiating the 100th National General Assembly of the Malaysian Armed Forces Veterans Association on Saturday, October 24, 2026.

The defense hardware grant is provided under Japan’s Official Security Assistance (OSA) 2026 framework, designed to strengthen foreign defense infrastructure and enhance regional maritime safety.

Mohamed Khaled previously signed bilateral agreements for the OSA 2026 package with Japanese Foreign Minister Toshimitsu Motegi during a working visit to Tokyo.

Maritime Security Priorities, Defense Assistance, and Veteran Pension Disparities

Key defense highlights, regional strategic considerations, and military veteran pension updates include:

• Strategic Deployment Locations: The counter-drone technology will be positioned at naval and air hubs in Sepanggar and Labuan to counter rising aerial surveillance and drone threats over critical South China Sea corridors.
• First Beneficiary Status: Malaysia became the initial recipient nation under Japan’s OSA program, which aims to improve partner nations’ defense infrastructure for shared maritime security in the Melaka Straits and South China Sea.
• Request for Sustained Aid: Malaysia has formally requested that Japan maintain annual defense assistance programs tailored specifically to Malaysia’s evolving maritime surveillance and security needs.
• South China Sea Geopolitics: Mohamed Khaled emphasized that as a maritime nation, Malaysia must continuously expand its monitoring assets to safeguard territorial waters against changing geopolitical dynamics.
• Veterans’ Pension Disparity Request: Addressing pension discrepancies for MAF personnel who retired prior to January 1, 2013, the Defence Ministry has urged the federal government to consider discretionary measures to bridge the financial gap following a court ruling against automatic adjustments.

–NMT