Pentagon awards $24.4B Raytheon deal to boost SM-6 production
World
The US Department of Defense has announced the award of a $24.4 billion contract for Raytheon, a five-year agreement with two additional option years, to ramp up production of SM-6 missiles.
These missiles are key for defending against threats in the air and at sea, and the contract is meant to help fix ongoing shortages after recent military operations.
Missile shortages follow U.S.-Israel operations
The Pentagon's move comes as missile stockpiles have been running low, especially after recent operations involving the US and Israel earlier this year.
Reports say these shortages could last for years, so this deal is also about making sure supply chains are stronger, and workforce capacity expands, even as tensions with Iran continue to simmer.