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Friday, October 2nd, 2026

Raytheon wins $20.7B multi-year contract with Defense Department

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RTX’s Raytheon said it will accelerate production of AMRAAM missiles after winning a multi-year contract with the U.S. Department of Defense, referred to by the Trump administration as the U.S. Department of War.

The $20.7 billion contract will facilitate the company’s increase to record-setting levels of AMRAAM missile production, as part of the U.S. government’s move to increase the country’s Arsenal of Freedom. The new contract comes on the heels of Raytheon and the department’s earlier announcement this year for the production of 1,900 AMRAAM missiles per year.

“AMRAAM remains the world’s most trusted, combat-proven air dominance weapon for the United States and our allies, delivering beyond-visual-range lethality with advanced guidance and electronic protection in contested environments,” Raytheon President Phil Jasper said. “We continue to make significant investments in our workforce, technology, supply chain and facilities to rapidly scale production capacity and meet surging demand from the U.S. Air Force, Navy and our international partners.”

The company has nearly doubled production since 2024. By collaborating with hundreds of small and mid-sized suppliers, RTX said it is able to rapidly scale output to meet long-term operational requirements. Now in its fifth generation, the AMRAAM missile operates on 14 platforms and is fielded by 44 countries, and has achieved more than 7,000 successful live fires in test and in combat, the company said. With upgrades that allow for agile software updates, the missile serves as the primary interceptor for both air-to-air missions and the MASAMS air defense system.