BAE Systems has signed a long-term framework agreement with the US War Department to expand production capacity for its Advanced Precision Kill Weapon System (APKWS) laser guides, with the potential to produce up to 35,000 units annually.
The agreement establishes a multi-year procurement framework of up to seven years as the defense contractor and the Pentagon negotiate a multi-year contract. BAE Systems plans to increase production to meet growing demand for precision-guided munitions, including weapons to counter unmanned aircraft systems (UAS).
The agreement is intended to strengthen the US supply of relatively inexpensive precision weapons while giving the manufacturer leeway to respond to changing operational requirements. However, the framework agreement itself is not the same as a concluded multi-year purchase agreement.
How APKWS makes missiles and precision weapons
APKWS kits convert 2.75-inch (70-millimeter) unguided rockets, including the Hydra 70, into laser-guided munitions. Instead of replacing the entire missile with a more expensive, custom-built missile, the system adds a guidance section that aims the weapon at a laser-marked target.
According to BAE Systems, its Distributed Aperture Semi-Active Laser Seeker (DASALS) uses optics mounted on the rocket’s four guide vanes to acquire and track specific targets after launch. The company says the design supports precision strikes while reducing the risk of collateral damage.
The system can be used against a range of targets, including soft and lightly armored vehicles, and has also been adapted for anti-drone missions. Its flexibility allows it to be used in air-to-surface, surface-to-surface, surface-to-air and air-to-air combat.
APKWS kits are already used by the US Air Force, Army, Marine Corps and Navy and are available to US allies. BAE Systems said it has been producing the system since 2008 and has sold more than 100,000 units worldwide.
Production could exceed 25,000 kits per year
BAE Systems currently reports a production capacity of at least 25,000 guides per year, with production occurring at facilities in Hudson, New Hampshire and Austin, Texas.
Under the new framework, the company plans to expand this capacity to up to 35,000 kits per year. This would equate to a potential 40 percent increase in capacity over stated base capacity and give the company more leeway to respond to surges in demand.
BAE Systems has also invested more than $100 million in infrastructure improvements to support production. The company said its manufacturing network benefits from a largely U.S.-based supply chain, established industry partners and the ability to increase production when needed.
The agreement is in line with the Pentagon’s Acquisition Transformation Strategy, which aims to strengthen the defense industrial base and accelerate the delivery of military equipment. The framework provides a structure for longer-term procurement, although the final multi-year contract is still being negotiated.
Why affordable precision weapons are important
The production push comes as militaries increasingly face threats from relatively inexpensive drones and other aircraft systems. Using high-quality missiles against low-cost targets can result in an unfavorable cost trade-off, making more affordable weapons an attractive option if they can accomplish the required mission.
APKWS offers a way to address this challenge. By adding guidance to an existing missile design, it offers the possibility of precision strike without having to use a larger, more expensive missile on every mission. Its ability to operate from multiple platforms also gives military services and allied forces flexibility in how they use it.
However, APKWS is not a universal replacement for dedicated interceptors or other guided missiles. Its effectiveness depends on the goal, the conditions of use and the capabilities of the platform on which it is used. The new agreement signals an attempt to expand production capacity before future demand exceeds available supply.