The US Department of Defense has awarded Raytheon a $258.7-million contract to engineer and produce the Standard Missile-2 (SM-2) Block IIICU surface-to-air missile, with work scheduled for completion by September 2031. The agreement includes $18.4 million in foreign military sales funding from Canada.
The Block IIICU represents a significant upgrade over earlier variants (Block III/IIIA/IIIB), featuring enhanced targeting to counter advanced threats such as anti-ship cruise missiles and tactical aircraft.
Key improvements include replacing the legacy semi-active seeker with a dual-mode seeker that combines semi-active and active guidance, integrating a new guidance section and target-detection device also being developed for the SM-6 Block IAU. Additional changes include a dorsal fin redesign and a thrust-vectoring jet tab assembly for superior maneuverability.
With a range of 145 kilometers (90 miles), the missile will boost air defense on Arleigh Burke-class and Zumwalt-class destroyers, Ticonderoga-class cruisers, and the upcoming Constellation-class frigates. It will also be incorporated into the Naval Integrated Fire Control – Counter Air system, which fuses sensors, aircraft, and ships into a single air-defense network.
Production, halted in 2017, resumed in 2021 following renewed orders. The program is largely supported by foreign military sales, with the US, Australia, Canada, Japan, and South Korea expected to be the first recipients. The US Navy plans to begin operational testing in 2027 before moving to full-rate production.
