In mid-1989, he started a feud with King Haku, who was awarded the crown on the edition of July 9, 1988 of "Superstars" when Harley Race was forced to vacate the crown due to injuries sustained in a match against Hulk Hogan on the edition of March 12, 1988 of "Saturday Night's Main Event XV". Duggan defeated Haku to win the crown and earn the title of "King of the WWE" on the edition of May 13, 1989 of "Superstars". On the May 27 "Saturday Night's Main Event XXI", Duggan earned a shot at the Intercontinental Championship against "Ravishing" Rick Rude. Duggan won the match by countout, and Rude retained the title, as a championship cannot change hands via countout or disqualification. At SummerSlam, Duggan teamed with Demolition (Ax and Smash) in a six-man tag team match and defeated André the Giant and The Twin Towers (Akeem and The Big Bossman).