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US Awards Raytheon $20.7B AMRAAM Contract

Key Takeaways
  • US awards Raytheon $20.7B AMRAAM contract.
  • Five-year deal with two option years to expand AMRAAM output.
  • Production to nearly double for US and allied forces.
  • Contract includes AMRAAM All Up Rounds and Guidance Sections.
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Strategic Implications

This contract may indicate the US government's effort to strengthen its domestic munitions industrial base. The significant increase in AMRAAM production could suggest a shift in US defense priorities, which may benefit Raytheon and its allies. The expansion of production may also signal a growing demand for air-to-air missiles, which could impact the global defense market.

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What Happened

Five-Year Deal To Nearly Double Missile Production For US And Allied Forces

The US Department of War has awarded Raytheon a multi-year contract valued at up to $20.7 billion to produce Advanced Medium-Range Air-to-Air Missiles (AMRAAM) for the United States and allied nations. The contract covers an initial five-year period with two option years and aims to nearly double AMRAAM production from previous levels. The procurement includes AMRAAM All Up Rounds, Guidance Sections, Direct Charge, and FMS Offsets. This development was reported by Unknown Source.

Source | Originally Published: September 26, 2024

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JUMPSEAT
AEROSPACE NEWS
JUMPSEAT
AEROSPACE NEWS

US Awards Raytheon $20.7B AMRAAM Contract

Sponsored by: Jumpseat Solutions
Key Takeaways
  • US awards Raytheon $20.7B AMRAAM contract.
  • Five-year deal with two option years to expand AMRAAM output.
  • Production to nearly double for US and allied forces.
  • Contract includes AMRAAM All Up Rounds and Guidance Sections.
Sign in to view key takeaways Get full access to in-depth analysis and key takeaways.
Sign In
Silver membership required Upgrade to Silver to access Key Takeaways.
Upgrade
Strategic Implications

This contract may indicate the US government's effort to strengthen its domestic munitions industrial base. The significant increase in AMRAAM production could suggest a shift in US defense priorities, which may benefit Raytheon and its allies. The expansion of production may also signal a growing demand for air-to-air missiles, which could impact the global defense market.

Sign in to view strategic implications Get full access to strategic analysis and expert insights.
Sign In
Silver membership required Upgrade to Silver to access Strategic Implications.
Upgrade

What Happened

Five-Year Deal To Nearly Double Missile Production For US And Allied Forces

The US Department of War has awarded Raytheon a multi-year contract valued at up to $20.7 billion to produce Advanced Medium-Range Air-to-Air Missiles (AMRAAM) for the United States and allied nations. The contract covers an initial five-year period with two option years and aims to nearly double AMRAAM production from previous levels. The procurement includes AMRAAM All Up Rounds, Guidance Sections, Direct Charge, and FMS Offsets. This development was reported by Unknown Source.

Source | Originally Published: September 26, 2024

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