US signs $20.7 billion preliminary deal with Raytheon to ramp up AMRAAM missile production
The US Department of Defense has reached a preliminary multi-year agreement worth $20.7 billion with Raytheon, a division of RTX, to accelerate production of AMRAAM missiles. The contract is part of a broader Pentagon effort to rebuild munitions stockpiles drawn down by transfers to allies and US military operations.
Key points
- $20.7 billion preliminary multi-year contract between the Pentagon and Raytheon (RTX) for AMRAAM missiles.
- AMRAAM missiles are used by fighter jets and are part of the NASAMS air defense system.
- NASAMS protects the Washington, D.C. area and is operated by more than ten countries, including Ukraine, Oman and Qatar.
- RTX nearly doubled AMRAAM production in 2025 and has set a target of at least 1,900 missiles per year.
- The deal is part of the Pentagon's Arsenal of Freedom initiative and a wider Trump-administration push to prioritise weapons production.
- Industry executives warn Congress has not yet appropriated the funding needed for the multi-year obligations.
- In July the Pentagon signed a separate $58.6 billion multi-year deal with Lockheed Martin for Patriot interceptors through fiscal year 2032.
Why it matters
AMRAAM missiles are a core munition for both US fighter jets and the NASAMS air defense system, which protects Washington and is operated by more than ten countries including Ukraine. The deal is part of the Trump administration's push to prioritise weapons production over shareholder returns and ties into the Pentagon's Arsenal of Freedom initiative. It also comes as the US works to rebuild stockpiles of interceptors such as Patriot and THAAD, drawn down by supplies to allies and US military operations. Industry officials warn that Congress has not yet appropriated the funding needed to back the multi-year obligations.
What happened
The US Department of Defense reached a preliminary multi-year agreement worth $20.7 billion with Raytheon, a division of RTX, to accelerate production of AMRAAM missiles. RTX said it nearly doubled AMRAAM production in 2025 compared with the previous year and has set a target of at least 1,900 missiles per year under the new deal. The contract is part of the Pentagon's Arsenal of Freedom initiative and follows a separate $58.6 billion multi-year deal with Lockheed Martin for Patriot interceptors signed in July, which runs through fiscal year 2032. Industry executives noted that Congress has not yet appropriated the funding needed to cover the multi-year obligations, which may limit contractors' ability to invest in components and production capacity. US Secretary of Defense Pete Hegseth denied media reports that US forces are running out of key missile stockpiles.
How Ukrainian sources describe it
The single Ukrainian-language source frames the contract primarily through the lens of replenishing US stockpiles drawn down by the war in Ukraine and supplies to allies, while noting that Ukraine is one of more than ten countries operating the NASAMS air defense system that uses AMRAAM missiles.
Background
In July the Pentagon signed a separate $58.6 billion contract with Lockheed Martin covering seven years of Patriot interceptor purchases through fiscal year 2032. Before the war the US arsenal held roughly 2,200 latest-variant Patriot missiles and 452 THAAD interceptors; CSIS estimates fewer than 1,000 Patriot and fewer than 250 THAAD interceptors remain. The US has also signed agreements with Lockheed Martin and Northrop Grumman worth more than $3 billion to expand Patriot and THAAD component production, with Pentagon targets of tripling Patriot and quadrupling THAAD output.