Raytheon has been awarded a $745.4 million contract to manufacture and assemble Standard Missile-3 Block IIA interceptors for the U.S. government and Japan, with a portion of the work taking place at the company’s missile integration facility on Redstone Arsenal.
The Missile Defense Agency, headquartered in Huntsville, awarded the noncompetitive, undefinitized contract action to Raytheon on a new contract valued at $745,387,095.
The work will be performed in Tucson, Arizona, and Huntsville, with production scheduled to continue through Feb. 28, 2031.
In Huntsville, Raytheon’s work will center on the final manufacturing, assembly and integration of SM-3 Block IIA All-Up Rounds at its advanced missile integration facility on Redstone Arsenal.
The contract covers requirements for both the U.S. government and Japan Ministry of Defense through a Foreign Military Sales case.
The SM-3 Block IIA is an advanced interceptor designed to defend against ballistic missile threats. The system was developed jointly by the United States and Japan and is deployed from ships and, in some configurations, land-based systems.
Raytheon has expanded its Huntsville manufacturing capabilities in recent years as demand for missile production has increased. The company’s Redstone Arsenal operation includes a recently completed $115 million expansion that doubled its integration space and was designed to support higher-rate missile production.
The latest contract is expected to further support production capacity at the Huntsville facility as the United States and Japan continue development and procurement of the SM-3 Block IIA system.
At the time of award, $275.6 million in fiscal 2026 procurement funds and $277.7 million in Japan Ministry of Defense Foreign Military Sales funds will be obligated.
The Missile Defense Agency is the contracting activity.
The SM-3 Block IIA is part of the broader U.S. ballistic missile defense architecture and is designed to intercept threats during the midcourse phase of flight, including targets outside the atmosphere.
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