BAE Systems has been awarded a $737.7 million contract by the U.S. Navy for the production and delivery of Mk 41 Vertical Launching System canisters, according to a press release.
This contract, which includes a two-year base term valued at approximately $78.8 million, could extend through June 2030 if all options are exercised.
The U.S. Department of Defense announced the contract, highlighting that it was competitively procured with three offers received. The contract encompasses purchases for the U.S. government and foreign military sales customers, specifically Japan and Australia, as noted in the press release.
“This contract combines purchases for the U.S. (71%), and the governments of Japan (25%) and Australia (4%) under the Foreign Military Sales (FMS) program,” stated the press release.
The work will be primarily carried out in Aberdeen, South Dakota (90%), and Minneapolis, Minnesota (10%), with an expected completion date of June 2026. Should all options be exercised, the work will continue through June 2030.
BAE Systems Land & Armaments L.P., located in Minneapolis, Minnesota, will execute the contract. The project’s funding comes from various fiscal year allocations, including fiscal 2024 weapons procurement (Navy) funds amounting to $22.26 million, FMS (Japan) funds totaling $20.08 million, and fiscal 2024 missile procurement (Army) funds of $11.17 million, among others.
Thought this would be about the Mk 41 VLS for the future RN T26 & 31s. Hopefully they’e well in hand.
It sort of is, US Defence dept buy for overseas buyers as part of their own block buys, it maximises cost efficiency. They do exactly the same for F35 🤔