The U.S. Department of Defense announced a $13.86 million contract modification awarded to Raytheon Co., reinforcing the global reliance on one of the most advanced air-to-air missile systems in modern combat: the AIM-120 Advanced Medium-Range Air-to-Air Missile (AMRAAM).
This firm-fixed-price contract, originating from a previously awarded agreement, funds the production of the AMRAAM C8 and D3 variants and the procurement of essential obsolescence components to sustain long-term missile viability. While modest in dollar value compared to multi-billion-dollar defense programs, the strategic importance of this modification reverberates across 21 countries, from NATO allies to Indo-Pacific partners.
The nations participating in this Foreign Military Sales (FMS) initiative—among them Canada, Poland, Taiwan, Japan, and Australia—represent a broad and increasingly coordinated front in the pursuit of air dominance and interoperable defense capabilities. With work being conducted in Tucson, Arizona, and completion expected by May 2026, this contract is more than a manufacturing job; it’s a statement of strategic intent.
The AIM-120 AMRAAM has been at the core of Western air superiority since its combat debut in the 1990s. The missile’s modern iterations—the C8 (AIM-120C-8) and D3 (AIM-120D-3)—reflect decades of refinement driven by emerging threats and evolving combat requirements.
The D3 variant boasts capabilities that rival or surpass most of its adversaries, including a two-way data link, improved guidance systems, and a maximum operational range exceeding 160 kilometers. This enables it to engage threats beyond visual range with a high probability of kill, while receiving mid-course updates from aircraft like the F-35 Lightning II or ground-based radar systems.
Its defining “fire-and-forget” radar homing system means pilots can launch the missile and immediately maneuver or engage other targets—a crucial feature in multi-threat airspace. The inertial navigation system, upgraded electronics, and a retooled processor under Raytheon’s Form, Fit, Function Refresh (F3R) program significantly enhance resistance to jamming and electronic warfare tactics.
This contract’s multinational footprint is as important as its technical specifics. The 21 recipient nations form a patchwork of regional defense coalitions and alliances, and the AMRAAM plays a unifying role among them. From Eastern Europe to the Pacific, the missile is rapidly becoming the standard air-to-air armament for F-16s, F-15s, F/A-18s, F-22s, and F-35s.
In Europe, NATO’s eastern flank—Poland, Hungary, and the Czech Republic—relies increasingly on Western systems to replace legacy Soviet platforms. Bulgaria, in particular, is transitioning its air force to the F-16 Block 70, requiring missiles that integrate seamlessly with new avionics and radar systems. The AMRAAM fills that gap.
In the Indo-Pacific, the stakes are higher. Taiwan’s procurement of AMRAAMs underscores its strategy of asymmetric defense amid rising tensions with China. South Korea and Japan, facing both North Korean provocations and China’s expanding naval and air operations, are integrating AMRAAMs into their F-35 and F-15 fleets to maintain regional air parity.
Elsewhere, nations like Finland, Sweden, and the United Kingdom leverage the AMRAAM not only for fighter integration but also for surface-based air defense systems like NASAMS (National Advanced Surface-to-Air Missile System). This dual-role capability increases the value of each missile, allowing for air and ground-based interoperability across platforms.
A significant portion of the contract addresses the procurement of “Life of Type” obsolescence parts—components that are no longer produced or are nearing the end of their supply viability. This is especially critical for missiles like the AMRAAM, which have been in service for over 30 years and must remain combat-ready well into the 2030s.
Obsolescence may not grab headlines, but it represents one of the most pressing issues in modern defense logistics. As microelectronics and specialized materials become scarce or discontinued, defense contractors must source or redesign replacement parts to prevent capability gaps.
For smaller nations without domestic defense industries—like Lithuania or the Czech Republic—this kind of logistical support from the U.S. ensures that their stockpiles don’t degrade into obsolescence. These components also allow missiles already in storage to be refurbished, extending their service life at a fraction of the cost of new builds.
The F-35 Lightning II is arguably the most important air platform tied to the AMRAAM program. The fifth-generation stealth fighter, produced by Lockheed Martin, has become a central pillar of Western airpower strategy. The missile-fighter pairing is not coincidental—the AMRAAM was designed to fully leverage the F-35’s networked combat capabilities.
The F-35’s AN/APG-81 AESA radar and its Distributed Aperture System allow it to detect, track, and prioritize enemy targets long before visual contact. These systems feed high-fidelity target data to onboard AMRAAMs, which can then receive mid-course corrections in real time via the missile’s two-way data link—a capability featured prominently in the D3 variant.
In stealth mode, the F-35 can carry four AMRAAMs internally to maintain a low radar signature. In less contested environments, external pylons can carry additional missiles, expanding its lethality. For countries like Japan, Canada, and Australia—who have already integrated or are finalizing their F-35 fleets—this capability represents a complete air dominance package.
Poland and the Czech Republic are currently onboarding the F-35 platform, replacing their aging MiG-29s and Su-22s. For them, AMRAAM compatibility is not just an option—it’s a requirement.
The contract’s significance extends well beyond individual missile shipments. By distributing AMRAAMs across 21 nations, the U.S. consolidates a shared defense architecture that facilitates interoperability in multilateral operations, particularly under NATO or U.S.-led coalitions.
This approach serves several purposes:
- Deterrence through parity: Countries like Bulgaria and Taiwan can counter regional threats without escalating to strategic imbalance. The missile acts as a credible deterrent.
- Supply chain interdependence: By locking in parts procurement and production contracts with Raytheon, partner nations gain access to high-end technology they couldn’t develop independently.
- Interoperability at scale: Joint exercises and real-world operations benefit from shared platforms and munitions, reducing training and logistical burdens.
However, this tight coupling also creates vulnerabilities. As global supply chains remain fragile—from microchips to rare earth materials—production delays or component shortages in Tucson can ripple across 21 different air forces. Additionally, dependency on U.S. technology raises sovereignty questions for smaller nations, particularly if geopolitical shifts affect export policies or licensing agreements.
The AMRAAM isn’t evolving in a vacuum. It’s competing with—and responding to—foreign systems that threaten to erode Western air dominance.
Russia’s R-77 “Adder” missile offers a shorter range and lacks a two-way data link but remains a credible threat when paired with modern Russian aircraft like the Su-35. Meanwhile, China’s PL-15 missile presents a more formidable challenge. With an estimated range of 200–300 kilometers and potential integration with high-powered radar and jamming systems, the PL-15 is designed to out-range and outgun U.S. fighters.
Yet AMRAAM’s competitive edge lies in its networked integration with Western platforms. Unlike its Russian and Chinese counterparts, the D3 variant’s ability to receive targeting data mid-flight from sources beyond the launching aircraft—including ground radar, AWACS, or other fighters—creates a distributed lethality model that’s hard to match.
Raytheon’s facility in Tucson, where the bulk of the contract work will be performed, is a key node in the U.S. defense industrial base. Employing thousands and producing over 1,200 AMRAAMs annually, the plant’s scalability ensures it can surge production during crises.
The $13.86 million modification supports a broader $2.46 billion contract framework previously established for AMRAAM production and modernization. In September 2024, Raytheon received a $1.19 billion contract for Lot 38, covering thousands of units and associated services. This new modification, although financially smaller, ensures continuous production flow and workforce stability.
Defense industry analysts suggest that Raytheon could increase production to 2,000 missiles per year, if needed, to meet rising global demand. As air defense spending continues to climb—projected at 5% CAGR through 2030—missiles like the AMRAAM will remain central to procurement strategies worldwide.
The AMRAAM program, with over 30 years of operational history and more than $20 billion in international sales, is one of the most successful missile export efforts in U.S. history. But its continued relevance depends on adaptation.
Future upgrades may focus on:
- Counter-hypersonic capabilities to address threats from new missile classes.
- Artificial intelligence integration for smarter target acquisition.
- Miniaturization to allow more weapons per sortie or fit newer drone platforms.
Despite its longevity, AMRAAM is not immune to the risks of obsolescence, over-reliance, and geopolitical entanglement. As the U.S. arms its allies with this weapon, it must also consider escalation dynamics—particularly in flashpoints like Taiwan, the Korean Peninsula, and Eastern Europe.
The May 2025 contract award to Raytheon is more than a financial transaction. It is a microcosm of global defense strategy, a reflection of shifting alliances, and a signal to adversaries that air superiority remains a central pillar of Western military doctrine.
As 21 nations prepare to receive the latest AMRAAM variants, they’re not just buying missiles—they’re buying into a shared vision of deterrence, interoperability, and technological edge.
