Raytheon and Pentagon Strike Multi-Year Defense Production Deal

Raytheon, a unit of RTX, has secured a seven-year agreement with the Pentagon to expand production of crucial weaponry like Tomahawk missiles and ballistic missile interceptors. This move aligns with efforts to replenish U.S. military stockpiles and reflects a larger shift in defense acquisition strategy aimed at enhancing America's industrial capacity.

Raytheon, part of RTX, has secured a seven-year agreement with the Pentagon to enhance production of critical defense systems, such as the Tomahawk cruise missiles and ballistic missile interceptors, according to an announcement made on Wednesday.

The agreement is part of a larger drive by Washington to replenish depleted weapons stockpiles, reflecting a strategic shift in defense acquisitions. This initiative follows similar long-term contracts sought under the Trump administration to bolster the U.S. defense contractors' production capabilities.

These deals aim to significantly ramp up the manufacturing of Tomahawk missiles from 60 per year to a potential 1,000, and increase air-to-air missile AMRAAM production to at least 1,900 units. Further enhancements include the boosting of SM-3 and SM-6 interceptor outputs, with production occurring at Raytheon facilities across three states.

(With inputs from agencies.)