A major missile defense contract tied to Huntsville has more than tripled in value, underscoring the region’s growing role in national security.

The Missile Defense Agency has awarded Raytheon an $8.4 billion ceiling increase to an existing contract supporting the Standard Missile-3 program.

The modification raises the total potential value of the contract from about $3.3 billion to more than $11.7 billion. The work includes sustaining engineering and product support services for multiple variants of the SM-3 interceptor, a key system used to defend against ballistic missile threats.

Work under the contract will be performed in Tucson, Arizona, and Huntsville, Alabama, with performance running through October 2029.

The SM-3 interceptor is a critical component of U.S. and allied missile defense systems, designed to track and destroy incoming ballistic missiles in space. The contract also supports Foreign Military Sales, meaning allied nations purchasing and deploying the technology are included.

Huntsville plays a central role in the effort as home to the Missile Defense Agency and as a growing hub for missile integration and production.

Earlier this month, Raytheon announced the completion of a major expansion at its Redstone Missile Integration Facility in Huntsville.

The $115 million project added roughly 26,000 square feet and is expected to increase missile production capacity by more than 50%.

The expansion is also expected to bring approximately 185 new jobs to the area, increasing Raytheon’s Huntsville workforce to more than 2,200 employees.

The facility serves as a key site for the integration of the Standard Missile family, including the SM-3, tying Huntsville directly to one of the nation’s most important missile defense programs.

The contract increase comes as the U.S. works to strengthen its missile defense capabilities and support allies amid evolving global threats, with Huntsville continuing to play a central role in that mission.