Raytheon Co. has been awarded a $141 million modification to an existing contract to supply Standard Missile-2 (SM-2) production spares to key U.S. allies through the Foreign Military Sales (FMS) program.
The Pentagon announced the contract in a release detailing the purchase breakdown and production timeline.
According to the U.S. Department of Defense, the firm-fixed-price modification supports spare parts procurement for the governments of Japan, Australia, the Netherlands, Spain, and Germany. Japan accounts for the largest share at 57%, followed by Australia (19%), the Netherlands (13%), Spain (6%), and Germany (5%).
The Department of Defense said in a contract announcement that the work will be performed across two U.S. locations—72% in East Camden, Arkansas, and 28% in Tucson, Arizona—with a scheduled completion date of June 2030.
The SM-2 is a long-range surface-to-air missile developed for fleet area air defense and ship self-defense. Manufactured by Raytheon, it is designed to intercept and destroy aircraft and anti-ship missiles in midflight and is used extensively by both the U.S. Navy and allied naval forces.
The deal was arranged through Naval Sea Systems Command in Washington, D.C., which oversees procurement and lifecycle support for naval weapon systems.
The SM-2 remains in production to meet the defense requirements of both the U.S. and international partners, particularly in the Indo-Pacific and European theaters where maritime deterrence remains a high priority.