- The five-year, $6.3B Pentagon contract with Raytheon provides a continuous supply of SM-3 Block IB interceptors, manufactured primarily in Tucson, Arizona and Huntsville, Alabama.
- The contract follows a framework agreement between DoD and Raytheon, one of five such agreements the company signed with the Pentagon in February.
- The deal responds to diminishing munitions stockpiles after heavy interceptor use in the war with Iran.
- CSIS named the SM-3 Block IB among seven critical munitions in an April report on ammunition shortages.
- Separately, Raytheon-funded developmental tests of Coyote Block 2C+RM upgrades were completed on Oct. 12, 2026. These tests are not a contract award.
Quotes
“SM-3 Block IB has proven its relevance in combat and this contract helps ensure we can replenish inventories and keep pace with the evolving threats the U.S. Navy, MDA and their partners face around the world”
“supports urgent replenishment of missile defense inventory that has been successfully used in combat and remains central to protecting U.S. forces, allies and critical infrastructure.”