North Korean leader Kim Jong-un had earlier vowed to field a nuclear-armed missile capable of reaching American territory.
South Korean and Japanese officials said the suspected Scud-type short-range missile flew about 450 kilometers (280 miles) on Monday morning before landing in Japan's maritime economic zone, setting off the usual round of condemnation from Washington and the North's neighbors.
Japan's Prime Minister Shinzo Abe swiftly condemned the test and vowed concerted action with its USA ally.
US President Donald Trump and Japan's Prime Minister Shinzo Abe agreed last Friday, on the sidelines of the Group of Seven meeting in Sicily, to increase sanctions on North Korea amid concerns that the dictatorship is developing a nuclear weapons programme.
North Korea has also tested shooting multiple missiles in an effort to misdirect US defenses.
Hwasong, or Mars, in Korean, is the North's name for its Scud-class ballistic missiles.
The unprecedented test is, in part, a response to North Korea's heightened threats of nuclear war - which have continued up through this week.
Chelsea forward Costa: I'll only join Atletico
I have a contract and no intention of leaving, but if there are changes to be made that might reduce my chance. We came better for the second half and scored the equalizer, but they went ahead soon after.
Experts say the North appears to be gaining meaningful data that is fed into its effort to build an intercontinental ballistic missile.
North Korea said Tuesday its test-firing of a precision-guided ballistic missile was a success, a day after the projectile landed in waters provocatively close to Japan.
The report did not say when the missile was launched.
The ministry said North Korea's 12 ballistic missile launches since the beginning of the year constitute a clear testament to its persistent lack of respect for its global obligations and norms of behavior.
Two weeks earlier, North Korea tested a KN-17 medium range ballistic missile, the first successful launch of its kind for the nation.
SEOUL-North Korean leader Kim Jong Un supervised the test of a new ballistic missile controlled by a precision guidance system and ordered the development of more powerful strategic weapons, the North's official KCNA news agency reported on Tuesday. USA officials often call it a high-speed effort to hit a bullet with another bullet.
But China, the North's main trade partner and ally, has made it clear that the push for diplomatic talks - not imposing more sanctions - was the priority.
All sides should "ease tensions on the Korean Peninsula as soon as possible and bring the Peninsula issue back onto the right track of peaceful dialogue", China's foreign ministry said.