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The Pentagon has awarded Boeing a $7.5 billion contract for conversion kits that would convert traditional bombs into laser-guided bombs.

The new contract, a sole-source fixed-price agreement, involves the production of Joint Direct Attack Munitions (JDAM) tail kits, along with related supplies, spares, repairs, and technical assistance. Work will take place at Boeing’s St. Louis, Missouri, facility, with the project expected to extend until the end of February 2030.

While the specific number of JDAM kits to be produced remains undisclosed, the contract includes provisions for the Air Force, Navy, and international allies. According to a readout, $228.2 million of the contract is allocated for foreign military sales.

The contract’s timing is significant as the US military faces challenges in maintaining sufficient munitions stockpiles to support its own needs and those of allies like Ukraine, Taiwan, and Israel. Defense firms are also experiencing workforce and material shortages, limiting the defense industrial base’s ability to increase production rapidly.

Digging Deeper:
JDAM kits are crucial for converting unguided bombs into precision-guided munitions. These kits, which cost between $25,000 and $84,000 each depending on annual purchase volumes, include a navigational system and GPS control unit that enable the bombs to be accurately guided to targets in various weather conditions. The Air Force and Navy use these kits to convert bombs ranging from 500 to 2,000 pounds.