Boeing Secures $7.5 Billion Contract with US Air Force for Guided Bomb Kits.

The US Air Force has awarded Boeing an important contract valued at nearly $7.5 billion to produce kits that transform conventional bombs into precision-guided munitions, known as Joint Direct Attack Munitions (JDAM). This announcement was made by the United States on May 24, 2024.
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Boeing will supply JDAM tail kits and other components necessary to convert unguided bombs into guided weapons. (Picture source: Boeing)

Under this fixed-price, indefinite-delivery/indefinite-quantity contract, Boeing will supply JDAM tail kits and other components necessary to convert unguided bombs into guided weapons. The agreement also includes spare parts, repairs, technical assistance, and laser JDAM sensor kits, all of which will be manufactured at Boeing’s facilities in St. Louis, Missouri, until the end of February 2030, according to the Pentagon's announcement on Friday, May 24, 2024.

The exact number of JDAM kits to be produced under this contract has not yet been determined. Boeing referred detailed questions to the US Air Force.

The Navy will also benefit from this contract, contributing financially, while foreign military sales account for approximately $228.2 million of the contract value, indicating that international customers will receive some of these JDAM supplies.

JDAMs are created by attaching guidance tail kits to unguided bombs weighing between 500 and 2,000 pounds. These tail kits include a navigational system and a GPS guidance control unit, enabling the bomb to be accurately directed from an aircraft to its target, even in adverse weather conditions. The cost of a JDAM kit ranges from $25,000 to $84,000, depending on the annual quantity ordered by the Air Force.

This contract comes amid growing concerns within the US military about maintaining sufficient munitions stockpiles to meet its own needs as well as those of allies such as Ukraine, Taiwan, and Israel. The defense industry's capacity to quickly increase production is currently limited by shortages of workers and materials.

In March, Chairman of the Joint Chiefs of Staff, General CQ Brown, emphasized that the US rigorously assesses its own munitions reserves before approving weapon requests from close allies to ensure that readiness is not compromised.

The Air Force previously faced challenges in maintaining an adequate supply of munitions, including JDAMs, during the campaign against the Islamic State. JDAM purchases surged to 30,872 in 2019, 24,794 in 2020, and 17,300 in 2021, but have since drastically decreased.

In September 2021, Boeing also received a contract modification worth $344.6 million from the Navy to supply up to 24,000 precision laser guidance sets for the laser JDAM program. In January 2023, the Air Force awarded Boeing another contract valued at $40.5 million for JDAM wing kits.

This impressive contract highlights the interest in transforming unguided bombs into guided bombs, with the US not being the only nation utilizing such systems. The Russian armed forces, for instance, have used similar systems in Ukraine.