Raytheon has received a $525 million contract from the U.S. Navy to produce ESSM Block 2 missiles and spares for the U.S. and allied nations.

ESSM Block 2 is a short to medium-range, ship-launched, dual-mode, guided missile that has increased maneuverability and improved performance over its Block 1 predecessor.

“The role of self-ship and local area defense has become increasingly important, and ESSM Block 2 delivers critical capability in this mission,” said Barbara Borgonovi, president of Naval Power at Raytheon. “By partnering with the U.S. Navy and allied navies, we’re ensuring this versatile system is ready to support our fleets around the world.”

The newest ESSM variant reduces dependence on shipboard illumination and is integrated on a wide variety of combat systems and launchers, delivering improved performance in stressing marine environments, and has significant digital processing margin to keep pace with evolving threats through software improvements.

Leveraging learning from other active seeker systems — such as AMRAAM and Standard Missile 6 — RTX is using common hardware and factory processes across multiple missile platforms to enable cost savings and increased production capacity. Additionally, the consortium continues to invest in test infrastructure and material to keep capacity ahead of demand and accelerate deliveries.

ESSM is managed by the NATO SEASPARROW Consortium composed of 12 nations: Australia, Belgium, Canada, Denmark, Germany, Greece, the Netherlands, Norway, Portugal, Spain, Türkiye and the U.S. The consortium is NATO’s largest and most successful cooperative weapons project and represents over 50 years of international military-industrial cooperation.