Navy Awards RTX $22.9B Tomahawk Contract in Landmark Deal

The Department of War awarded Raytheon Technologies a $22.9 billion contract to accelerate production of Tomahawk long-range cruise missiles on

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The Department of War awarded Raytheon Technologies a $22.9 billion contract to accelerate production of Tomahawk long-range cruise missiles on Aug. 18. The deal is one of the largest single missile production contracts in U.S. history.

The deal underscores an urgent push to rebuild American munitions stockpiles that have been drawn down by years of foreign military assistance commitments, with direct implications for U.S. deterrence capabilities in the Pacific and Middle Eastern theaters.

Acting Secretary of the Navy Hung Cao announced the contract, which the department described as a "landmark" expansion of long-range strike capability, according to a Department of War press release.

A separate agreement finalized Aug. 14 with Boeing covers production of SM-3 Block IIA and SM-3 Block IB interceptor missiles, the department said. Together, the two deals represent a significant acceleration of the nation’s missile industrial base.

The Tomahawk cruise missile, a mainstay of U.S. naval strike capability for more than four decades, can hit targets at ranges exceeding 1,000 miles. The weapon has been used extensively in conflicts from the Gulf War to recent operations in the Middle East.

The contract comes as U.S. defense officials have publicly warned that munitions inventories are lower than desired following transfers to Ukraine, Israel, and Taiwan. Congressional leaders from both parties have pressed for faster production timelines.

RTX, formerly known as Raytheon Technologies, is the sole manufacturer of the Tomahawk system. The company’s stock rose on the news.

Defense procurement experts said the scale of the contract reflects a broader shift toward rapid replenishment after years of drawdowns. The award is expected to sustain thousands of manufacturing jobs at RTX facilities in Arizona, Alabama, and other states.

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