US awards $22.9 billion Tomahawk contract to RTX amid munitions stockpile concerns over Iran War

WASHINGTON: The Department of War on Monday (local time) announced a $22.9 billion contract with Raytheon, an RTX business, awarded by the US Navy, to accelerate production of the Tomahawk missile, a critical long-range strike capability, amid concerns over depleted US munitions stockpiles as the conflict with Iran continues.

According to a statement issued by the Department of War, the contract is aimed at rapidly expanding Tomahawk production and strengthening the US military’s ability to field long-range strike capabilities while also supporting expansion across the country’s munitions industrial base.

“The Department called upon industry to expand munitions production, and RTX has answered that call”, Under Secretary of War for Acquisition and Sustainment, Michael P Duffey, said. “This Tomahawk award increases our ability to equip the Joint Force, ensuring our Warfighters never face a fair fight”, he added.

According to the Department of War, the contract will provide industry partners with the stability needed to expand their workforce, increase manufacturing throughput and strengthen supply chains. The award is also intended to advance the department’s Acquisition Transformation Strategy by accelerating the delivery of critical weapons and reducing procurement lead times.

Acting Secretary of the Navy, Hung Cao, said the investment will help ensure that US naval and joint forces have the firepower required to deter aggression and protect the homeland. “Guaranteeing our naval and joint forces have the lethal firepower they need to deter aggression and protect the homeland is paramount,” Cao said.

We called on industry to rapidly scale up munitions output, and @RTX_News is delivering.

This landmark Tomahawk contract ensures our warfighters continue to have the lethal firepower they need to win. pic.twitter.com/YekpFgKXSg

— Acting Secretary of the Navy Hung Cao (@SECNAV) August 17, 2026

“This landmark $22.9 billion investment will accelerate Tomahawk missile delivery to our warfighters at unprecedented speed. By working closely with industry to expand our munitions industrial base’s capacity, the Department is utilizing every available tool to meet the demands of our current operations, ensuring they are equipped to fight, win, and come home safe”, he added.

Cao also highlighted the need to rapidly increase munitions output in a post on X announcing the development. “We called on industry to rapidly scale up munitions output, and RTX is delivering. This landmark Tomahawk contract ensures our warfighters continue to have the lethal firepower they need to win”, the post read.

The announcement comes amid concerns over US weapons stockpiles following the conflict with Iran. A CNN report, citing multiple sources, said US military commanders had raised concerns about critically low stockpiles of certain munitions, particularly air defence interceptors. The Tomahawk award is expected to increase production capacity while strengthening the broader US munitions industrial base.

The Department of the Navy’s Portfolio Acquisition Executive (PAE) Munitions is responsible for the development, procurement and delivery of naval munitions and strike capabilities. The organisation brings together key weapons programmes and aligns the weapons industrial base with the aim of accelerating production, increasing capacity and ensuring the US Fleet has the munitions required to project power and conduct operations.

The $22.9 billion contract therefore represents a major push by the US government to expand critical weapons production at a time when concerns over munitions availability have grown following the Iran conflict. (ANI)