Pentagon Warns Two-Year Delay on Japan’s 400 Tomahawk Missile Deliveries
RTX•The Pentagon has informed Japan that delivery of 400 Tomahawk cruise missiles under a $2.35 billion 2024 agreement could slip two years past the April 2028 deadline. Delays stem from U.S. forces firing over 1,000 Tomahawks in recent Iran operations, prioritizing stockpile replenishment over new builds.
1. Delivery Delay and Contract Impact
The $2.35 billion agreement signed in 2024 obliges Raytheon Technologies to deliver 400 Tomahawk cruise missiles to Japan by April 2028, but the Pentagon has now signaled a two-year extension due to supply constraints. This shift defers substantial revenue recognition and alters production scheduling for the missile program.
2. U.S. Stockpile Replenishment
Recent U.S. military operations against Iran saw the launch of over 1,000 Tomahawks, exhausting existing stockpiles. The Department of Defense is channeling manufacturing output toward replenishing U.S. reserves before fulfilling export orders, creating the backlog that impacts Japan’s deliveries.
3. Strategic and Competitive Implications
Japan’s potential acceleration of domestic missile development could reduce reliance on imported systems, posing longer-term competitive risks for Raytheon Technologies. Conversely, ramping up production to meet U.S. replenishment needs may yield higher near-term manufacturing volumes and margins.
