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US Navy signs off on large SM-2 Block IIICU missile deal

Raytheon has been developing the SM-2 Block III C/U variants for a number of years, incorporating guidance upgrades compared to legacy missiles.

Richard Thomas August 13 2025

The US Naval Sea Systems Command has awarded Raytheon a $258.7m contract for the manufacture of Standard Missile 2 (SM-2) Block IIICU All Up Round, a capability that provides medium-range air defence to US Navy Aegis cruisers and destroyers.

Detailed in a 12 August contract notice published by the US Department of Defense, the work is expected to be completed by September 2031 and includes $18.4m in Foreign Military Sales funding from Canada.

Raytheon was awarded a $15.9m option in 2023 for the low-rate initial production of the SM-2 Block IIIC missile, which is a modification of the SM-2 Block III and SM-2 Block IIIA variants, featuring an active radio frequency seeker based on system used on the SM-6 system.

According to a report published by the US Navy’s Operational Testing & Evaluation (OT&E), the missile features a new dorsal fin design and a thrust vectoring jet tab assembly to control trajectory as the missile leaves the launcher.

Preliminary testing of the SM-2 Block IIIC missile found it capable of successfully targeting and intercepting subsonic anti-ship cruise missiles. The US Navy declared interim capability for SM-2 Block IIIC in November 2022 and plans to field the SM-2 Block IIICU in FY27.

What is the 'U' in Block IIICU?

The ‘U’ classification of the SM-2 Block IIICU comes from a programme being undertaken by the US Navy’s Guidance Section Electronics Unit (GS EU) to deliver hardware changes for the SM-6 Block IA GS and Target Detection Device to address obsolescence issues.

The upgraded GS EU will be qualified on the SM-6 Block IA missile as the SM-6 Block IAU, while the integration of the upgraded GS EU on the SM-2 Block IIIC results in the SM-2 Block IIICU.

Capable of intercepting at range of up to 90 miles (103km), and possibly further, the SM-2 Block IIC/U a key US Navy programme to upgrade its medium-range air defence capabilities for Arleigh Burke- and Zumwalt-class guided missile destroyers, as well as the remaining Ticonderoga-class guided missile cruisers.

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