The selection means foreign companies selling weapons to South Korea could potentially use Innospace's launch service to meet their defense offset obligations.
Under such arrangements, foreign defense suppliers are required to provide benefits to South Korea, such as technology transfers or purchases from local companies, as part of major military procurement deals.
The program has traditionally focused on physical products, including aircraft components and satellite equipment. This is the first time a service transporting satellites into orbit has been included.
Innospace's launch service will be recommended to the Defense Acquisition Program Administration (DAPA), which can introduce it to foreign defense contractors. However, the selection does not guarantee any contracts.
The company is developing its HANBIT-Nano rocket to carry small satellites into low Earth orbit. Innospace said the rocket uses domestically developed technology and is designed to avoid restrictions under U.S. arms export regulations, potentially making it easier to serve international customers.
"This selection opens a new area of international industrial cooperation through defense offset trade," said Kim Su-jong, CEO of Innospace.
Kim added that the company would seek partnerships with global defense and aerospace firms and expand opportunities to attract overseas customers.
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