Summary: The Pentagon awarded RTX a $22.9 billion, multi-year contract to increase Tomahawk cruise missile production to more than 1,000 missiles per year, responding to heavy use of the weapon in operations tied to the Iran confrontation. CSIS estimates current capacity at about 600 units; RTX says deliveries have already surged in 2026. Officials warn it will take years and substantial investment to rebuild high-end munitions stockpiles.
Pentagon Awards $22.9B to RTX to Boost Tomahawk Output to 1,000+ Missiles a Year

The Pentagon has awarded a $22.9 billion contract to RTX (Raytheon) to sharply increase production of the BGM-109 Tomahawk cruise missile, the Department of Defense announced. The multi-year agreement builds on an earlier framework from February and aims to lift annual output to more than 1,000 missiles over seven years.
Why the Surge?
The award follows intensive US military operations in the Middle East tied to the confrontation with Iran, during which American forces expended hundreds — by some estimates more than 1,000 — Tomahawks. Officials say the contract is meant to accelerate deliveries to frontline units and rebuild depleted stockpiles of high-end precision munitions.
Official Response
Acting Navy Secretary Hung Cao called the contract a "landmark" agreement that "will accelerate Tomahawk missile delivery to our warfighters at unprecedented speed." He added that the Department of Defense is "working closely with industry to expand our munitions industrial base's capacity" to meet current operational demands.
About the Tomahawk
The BGM-109 Tomahawk is a subsonic cruise missile with a typical range of roughly 1,000 miles. In service since the 1980s, it is fielded by the US Navy and the Army and by a small number of American allies. Tomahawks can be launched from surface ships, submarines, and some ground-based platforms; there are also maritime-strike variants.
Production, Cost and Capacity
Think-tank analysts at the Center for Strategic and International Studies (CSIS) estimate current US annual production capacity at about 600 Tomahawks. The new contract aims to raise that to roughly 1,000 per year. RTX says it has invested heavily to scale up production and delivered three times as many Tomahawks in the first half of 2026 as in the same period last year.
A single Tomahawk can cost up to $3.5 million, underscoring the financial and logistical challenge of reconstituting depleted inventories. US officials and analysts caution it will take years to rebuild stockpiles of Tomahawks and other precision and high-end munitions drawn down during the Iran campaign.
Strategic Importance
Precision long-range munitions like the Tomahawk are viewed by US planners as critical for deterrence and for any high-end conflict scenario, including potential contingencies involving China. Increasing inventories and industrial capacity is therefore a priority for defense planners.
What to watch next: Implementation details, production milestones from RTX, and whether additional contracts or industrial investments follow to bolster the broader munitions supply chain.
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