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Raytheon Secures $20.7B AMRAAM Production Contract

September 29, 2026

2 min read

Key Takeaways

Raytheon awarded $20.7B contract for AMRAAM production.
Deal spans five years with options for two additional years.
Contract covers US Air Force, Navy, and 16 international customers.
Production output nearly doubles compared to previous rates.

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Strategic Implications

This award may indicate the Pentagon's efforts to replenish depleted munitions stockpiles, which could strengthen the US and its allies' air defense capabilities. The increased production output suggests a significant investment in air-to-air defense, which may have implications for the global defense industry and could impact the competitive landscape of munitions production.

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What Happened

Pentagon Awards Multi-Year Deal For Advanced Air-To-Air Missile

The US Defense Department has awarded RTX subsidiary Raytheon a contract worth up to $20.7 billion for the production of the Advanced Medium-Range Air-to-Air Missile (AMRAAM). The multi-year deal covers orders for the US Air Force and Navy, as well as 16 international customers. The contract nearly doubles the missile’s production output compared to previous rates, with the Pentagon citing the need to replenish key munitions depleted by conflicts in Ukraine and the Middle East. This development was first reported by Breaking Defense.

Source | Originally Published: September 1, 2026

Companies Mentioned