Raytheon Wins $6.3 Billion US Missile Deal

Raytheon, a subsidiary of RTX, said on Thursday that it had won a multi-year contract with the US Army worth up to $6.3 billion.

The deal includes the production and maintenance of Standard Missile-3 Block IB interceptors and comes as the US Department of War seeks to rebuild missile defense stockpiles and boost munitions production.

The contract arrives as the Defense Department aims to replenish stocks depleted by conflicts in the Middle East and meet growing demand for air and missile defense systems.

According to Reuters, the Standard Missile-3 Block IB is a ballistic missile defense interceptor used by the US Navy to counter short- and medium-range ballistic missile threats.

This deal follows a series of major Pentagon contracts in the missile sector. In October, Raytheon received a contract worth up to $24.4 billion to produce Standard Missile-6 interceptors for the US Navy, while Lockheed Martin won a $58.6 billion contract to supply Patriot missiles in July.

These agreements fall within the efforts of President Donald Trump's administration to expand US weapons production by encouraging contractors to increase their manufacturing capacity.

However, industry executives have warned that a lack of funding from Congress could delay investment in facilities and supply chains.