Raytheon, a business unit of RTX (NYSE: RTX), has been awarded a seven-year, $22.9 billion contract to produce Tomahawk cruise missiles for the U.S. Navy, according to a company press release.

The contract is intended to support an annual production rate of more than 1,000 Tomahawk missiles, along with associated support services. RTX said it delivered three times more Tomahawks in the first half of 2026 compared to the same period in 2025.

The award follows earlier agreements between Raytheon and the Department of Defense and is described as part of the department's Arsenal of Freedom initiative.

Raytheon President Phil Jasper said in a statement: "Tomahawk is the Navy's most important strike weapon, able to target hostile forces hundreds of miles away without ever risking the lives of our sailors. We are making significant investments in our workforce, technology, supply chain and facilities to dramatically boost production capacity and meet surging demand."

RTX said it plans to work with hundreds of small and mid-sized suppliers across the country to scale output under the contract. The company is headquartered in Arlington, Virginia, and reported 2025 sales of more than $88 billion.