In the summer of 1936, a civil war broke out in Spain. During this conflict, Germany supported the Nationalists by secretly supplying them with weapons. Between the autumn of 1936 and the spring of 1937, five Hs 123A aircraft were sent to Spain for combat trials and were assigned to the experimental unit VJ/88. This unit was part of the German Condor Legion, which operated several types of aircraft.
Although officially classified as fighters, the Hs 123A aircraft were primarily used in the ground-attack role. Their first combat operation was during the battles for Málaga. As close air support aircraft, the Hs 123s performed excellently, demonstrating high survivability and the ability to operate from short, unprepared airstrips. They also showed an outstanding balance of speed and maneuverability—when damaged, the Hs 123 could escape enemy fighters by diving steeply.
Out of the five aircraft deployed, three were lost in action, while the remaining two were later transferred to the Nationalist air force. In 1939, Spain ordered an additional twelve Hs 123 aircraft, which remained in service until 1949.