Raytheon Receives $745 Million SM-3 Block IIA Production Contract

Missile Defense Agency award supports production of interceptors for the United States and Japan through 2031.

 

Aug. 12, 2026

 

The U.S. Missile Defense Agency has awarded Raytheon a $745.4 million contract to manufacture and assemble Standard Missile-3 Block IIA interceptors for the U.S. government and Japan Ministry of Defense.

 

The noncompetitive, undefinitized contract covers SM-3 Block IIA all-up rounds, with work to be performed in Tucson, Arizona, and Huntsville, Alabama, through Feb. 28, 2031.

 

The SM-3 Block IIA is designed to counter short- to intermediate-range ballistic missile threats using a kinetic warhead and incorporates larger rocket motors than earlier SM-3 variants.

 

Raytheon entered full-rate production of the Block IIA in 2024 and has continued investing in manufacturing capacity, including a $115 million expansion of its Alabama missile integration facility. The latest award continues production for both U.S. and Japanese requirements as part of the two countries’ cooperative missile defense program.

 

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