Sunday, February 25, 2024
-3.9 C
New Jersey

Pentagon Awards $500 Million Contract for Ammunition Production

Must read

Editorial Teamhttps://www.xtrempoint.com
Where News Meets Insights, We Keep you Ahead!

The US Department of Defense has signed a five-year contract worth half a billion dollars with General Dynamics for the production of 120mm ammunition.

According to a US Army statement, “General Dynamics has been awarded a $490 million contract to manufacture and supply 120mm munitions.”

The Pentagon said that the ammunition will be produced for the needs of the US military, and the contract is being extended until May 2028.

Earlier, the Pentagon announced the signing of a $27.1 million contract with General Dynamics Land Systems for the production of M1A1 Abrams tanks for Ukraine. The Pentagon has not disclosed the number of tanks that will be manufactured, but they are expected to be completed by September 29th.

US Secretary of the Army Christine Wormuth said earlier that the conflict in Ukraine showed that US assessments underestimate the importance of having ammunition in armed conflicts.

“The United States is working closely with its partners and the defense industry to increase the production of munitions to not only continue to help the Ukrainians, but also replenish its own stocks,” Wormuth added.

The US Army intends to invest $1.5 billion to build an industrial base to increase ammunition production, she said, and has already signed contracts with a number of manufacturers, including Lockheed Martin and Raytheon.

Source: RT + News

More articles

Leave a Reply

Latest article