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Raytheon Wins $745M SM-3 Block IIA Missile Contract

August 10, 2026

2 min read

Key Takeaways

Raytheon secures $745m contract for SM-3 Block IIA missiles.
Contract covers US and Japanese Foreign Military Sales requirements.
Delivery expected by February 28, 2031.
Interceptor designed to defend against ballistic missile threats.

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Strategic Implications

This contract award may indicate continued investment in layered missile defense capabilities by the US and Japan. The partnership suggests a deepening of bilateral defense cooperation, which could enhance regional security and may set a precedent for future joint defense projects.

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What Happened

US And Japan Partner On Advanced Interceptor Production

Raytheon has been awarded a $745.39m contract to manufacture and assemble Standard Missile-3 (SM-3) Block IIA interceptors for the US Government and Japan’s Ministry of Defense. The contract, announced by the US Department of War, covers SM-3 Block IIA All-Up Rounds to meet both US and Japanese Foreign Military Sales case requirements. Work on the contract will be carried out in Tucson, Arizona, and Huntsville, Alabama, with completion anticipated by 28 February 2031. This latest contract follows a prior $2bn award in 2024 for the manufacture and assembly of SM-3 Block IIA All-Up Rounds, demonstrating continued US and Japanese investment in layered missile defense capabilities, as reported by Unknown Source.

Source | Originally Published: August 10, 2026

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