US Navy awards $205m contract for continued production of Phalanx close-in weapon system

RTX Corporation's Raytheon business unit has been awarded a US$205 million contract from the US Navy for continued production of the Phalanx close-in weapon system (CIWS).

As part of the contract, Raytheon will provide upgrades, conversions, overhauls, and related equipment. Work on this contract will take place in Louisville, Kentucky, and other US sites through 2029.

The Phalanx CIWS is a rapid-fire, computer-controlled, radar-guided gun that can defeat anti-ship missiles and other close-in threats that may penetrate preceding layers of defence. It is installed on all US Navy surface combatant ship classes and on those of 24 allied nations.

In January 2024, Phalanx was deployed by the US Navy Arleigh Burke-class guided-missile destroyer USS Gravely to destroy a Houthi missile in the Red Sea just moments before impact, an action that Raytheon credited with, "saving the lives of over 300 sailors onboard."

Barbara Borgonovi, President of Naval Power at Raytheon, said that the awarding of the contract, "underscores the trust the US Navy places in [the] absolutely critical system."