U.S. Army Awards $535 Million Contract for Self-Propelled Howitzer Production Through 2029
The U.S. Army has awarded a $535.6 million contract to BAE Systems for the production of self-propelled howitzer systems and tracked support vehicles. This contract, announced on May 14, 2026, aims to sustain mobile long-range firepower for high-intensity combat operations. The M109A7 Paladin family, central to maintaining armored brigade artillery support, is expected to continue production under this contract. The M109A7 improves survivability, mobility, and digital fire control, supporting faster operations and better integration into networked battlefield operations. The contract includes a broader fielding package, not just gun tubes, to convert factory output into usable unit capability.