The live-fire drill, part of the annual “Balikatan” exercises, was conducted about 75 km off the coast of Paoay in northern Philippines. Philippine military officials said two missile volleys hit the target ship, the BRP Quezon, within six minutes of launch.

Japan’s Defense Minister Shinjiro Koizumi and Philippine Defense Secretary Gilberto Teodoro observed the exercise on site, while President Ferdinand Marcos Jr. monitored the operation via live feed from Manila, according to the Philippine government.

The exercise coincided with ongoing talks between Tokyo and Manila on a potential transfer of defense equipment, following Japan’s decision to ease restrictions on military exports. Discussions include the possible provision of Abukuma-class destroyers and TC-90 aircraft to the Philippines, Koizumi said.

In a statement, the Philippine military said the drill demonstrated coordinated maritime strike capabilities among allied forces and underscored efforts to enhance interoperability and regional security, particularly in safeguarding freedom of navigation.

The Type 88 missile system, designed for coastal defense, was deployed as part of broader efforts to deter maritime threats in contested waters.More than 17,000 troops are participating in this year’s Balikatan exercises, including approximately 10,000 from the United States and around 1,400 from Japan.

Several countries, including Australia, Canada, France and New Zealand, are taking part as active participants for the first time, reflecting expanding defense cooperation.

Earlier in the exercises, US and Philippine forces deployed the NMESIS anti-ship missile system in Batanes province near Taiwan, amid rising regional tensions linked to competing territorial claims.

China has repeatedly criticized such joint drills, saying they escalate tensions in the region.