Although the next generation supersonic SSM, the HF-3, has recently completed its development and will start production soon, the development of the HF-2 continues.
In mid-1990s the fuel for HF-2 was changed, which doubled its range (80 km to 160 km). The IR seeker was also being changed to an IR imaging seeker, which greatly enhance the IRCCM ability. Also, with the IR imaging seeker, the HF-2 was then able to attack shore targets also, with pre-stored target shape inside missile's computer, but an HF-2 land attack ability was never confirmed.
In the late 1990s CSIST begin to develop the supersonic version of HF-2, which could accelerate to low supersonic speed (Mach 1.5) in final dash, thus increase its chance to kill the target. Development was rumored finished, and some older HF-2 was being replaced with the new supersonic HF-2. But this supersonic HF-2 version is believed to be a myth.
Some HF-2 batteries are located on Taiwan's outlying islands, with others fitted on naval vessels. These missiles have had their radars and IR seekers replaced with GPS guidance units and TV/IR seekers for terminal guidance. This is designed to serve as a deterrent to mainland China, and will continue to do so until CSIST completed development of the HF-2E. As with the above, however, the existence of a land-attack version of the HF-2 anti-ship missile is unconfirmed, and media reports claiming the new missiles have a range of between 1000 and 2000 miles have been dismissed by the Ministry of National Defense as "sheer fabrication."
In late 2014, CSIST reportedly began the test-launching stage of an extended-range version of the HF-2, increasing range from 160 km (99 mi) to 250 km (160 mi).