Pentagon Awards Another Billion for Missiles

Raytheon will expand production capacity and manufacture more than 2,000 short-range air-to-air and surface-to-air missiles for U.S. and allied defense forces by 2029.

Raytheon Co. has drawn a $1.1-billion update to an earlier U.S. Navy contract, to produce AIM-9X Block II missiles to expand the U.S. military inventory, and to address demand from allied nations. The order covers approximately 1,989 tactical missiles for U.S. military branches and 336 missiles for the Pentagon’s Foreign Military Sales customers.

Production will continue through September 2029, with manufacturing activity mainly in Arizona but also in 10 other states.

The AIM-9X Sidewinder is an infrared tracking, short-range air-to-air and surface-to-air missile for use with various combat aircraft, and also used as a ground launched missile.

In recent months U.S. defense manufacturers have been tasked by the Pentagon to increase missile production, including longer-term contracts that will provide assurance for their capital investments. Lockheed Martin was awarded a seven-year, $35-billion contract to increase THAAD interceptor missile production to 400 per year by 2032.

Raytheon reports it is expanding its Sidewinder missile production capacity to 2,500 units per year.

The Pentagon announcement itemizes thousands of missiles of different functionalities, launch hardware and software, optical target detectors, guidance units, as well as spare systems and hardware.

"Our teams have streamlined production, shortened lead times and ramped up deliveries of AIM-9X missiles to keep pace with growing demand," stated Barbara Borgonovi, president of naval power for Raytheon. "This contract, along with our close partnership with the U.S. Navy, allows us to sustain that momentum and ensure U.S. and allied forces have this advanced, combat-proven capability they depend on in high threat environments."

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