BAE Systems has been awarded a five year contract by the United States Navy for the continued production of APKWS laser guidance kits, according to the company.

The indefinite delivery, indefinite quantity contract has a maximum value of $1.7 billion, with an initial order worth $322 million, and is intended to support the supply of tens of thousands of guidance kits for US forces and allied customers.

The Advanced Precision Kill Weapon System, known as APKWS, converts standard 2.75 inch unguided rockets into laser guided munitions. According to the company, the contract reflects growing domestic and international demand for lower cost precision strike options across multiple mission sets.

BAE Systems said the guidance kits are available to all branches of the US armed forces and to partner nations through foreign military sales, and have been used in air to surface, surface to surface, surface to air and air to air roles.

Neeta Jayaraman, director of Precision Guidance and Sensing Solutions at BAE Systems, said the award highlighted the continued relevance of the system. “This award reinforces the value of proven and cost efficient precision munitions, which have consistently demonstrated their effectiveness and versatility across multiple platforms and missions,” she said. “High volume production ensures rapid and efficient delivery to the warfighter.”

According to the company, APKWS guidance kits allow operators to engage stationary and moving targets while reducing the risk of collateral damage. The system can be launched from a range of platforms including fixed wing and rotary aircraft, unmanned aerial vehicles, ground vehicles and maritime vessels.

BAE Systems said the guidance kits are compatible with existing rocket motors, warheads and fuzes, and require limited additional training and maintenance compared with traditional guided munitions.

The company has been producing APKWS kits at full rate for more than 12 years, and said the system offers a lower cost alternative to larger precision weapons. Production takes place at BAE Systems facilities in Hudson, New Hampshire and Austin, Texas, according to the company.

The US Navy contract runs for five years and allows orders to be placed as required during that period, with final quantities dependent on future tasking and funding decisions.

4 COMMENTS

    • Sadly it’s got sod all to do with the UK.. this is BAE Inc, although BAE Inc is owned by BAE PLC the way the U.S. MIC works is that essentially all tax revenues stay in the US, almost all profit has to stay in the US ( it cannot be transferred to BAE PLC) and all the US IP or IP that included any U.S. involvement has to stay firewalled within BAE Inc and is essentially controlled by the U.S. government… so all it can ever do is make American great again…

      • To be fair that’s how most multinationals work, keep profits and cash in low tax jurisdiction and not send back to the parent. It’s how apple ended up having huge stockpiles of cash abroad before trump in his first term did a tax deal with them that allowed them to bring it back to the parent with only a marginal tax bill.

        • Hi Steve it’s slightly different with that send your profits to low tax countries it’s a business choice and the company can still move the profits back home as well as developed IP.. with MIC firewalling it’s very different.. it’s why you see separate companies created because essentially the nation state must control its own MIC.. so essentially BAE inc has nothing to do with the Uk at all.

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