US Navy awards RTX's Raytheon $24.4 billion contract for Standard Missile-6 amid stockpile concerns

The ​US Navy said ‌on Thursday it ​had awarded RTX's Raytheon unit a multiyear contract worth ‌up to $24.4 billion to produce Standard Missile-6 interceptors for the US Navy, as the Pentagon pushes ‌to replenish munitions stockpiles depleted by conflicts in ‌the Middle East. The five-year contract, which includes two additional option years, the Navy said, is meant to provide ⁠a ​steady ⁠and reliable supply of the SM-6, a missile that can ⁠carry out both offensive strikes and missile defense missions.

The ​SM-6 award is the latest in ⁠a series of large munitions contracts the Pentagon has pursued ⁠this ​year to pressure contractors into ramping up output faster. It follows a $20.7 billion provisional ⁠multiyear deal for Raytheon's AMRAAM missiles in late September ⁠and ⁠a $58.6 billion Patriot interceptor deal awarded to Lockheed Martin in July.