U.S. Army Orders M109A7 Howitzers, M992A3 Ammunition Carriers for $418M

BAE Systems has been awarded a $418 million contract extension by the U.S. Army to continue the production and delivery of M109A7 Self-Propelled Howitzers and M992A3 ammunition carriers.

The contract, granted in November 2023, extends the period of performance, with vehicle deliveries scheduled through 2025.

The M109A7, a key asset in the BAE Systems M109 family, serves as the primary indirect fire support system for the U.S. Army’s Armored Brigade Combat Teams (ABCT). Modernized features in size, weight, power, cooling, readiness, force protection, and survivability enhance the vehicle's capabilities, providing Army commanders with a more effective and sustainable platform on the battlefield.

The M109A7's redesigned elements, including a new chassis, engine, transmission, suspension, steering system, high-voltage architecture, and improved survivability, contribute to increased commonality across the ABCT, easing logistics and reducing operational sustainability costs. The vehicle is also engineered to accommodate higher-caliber extended-range cannon assemblies, aligning with the Army’s extended range lethality goals.

This recent contract builds upon BAE Systems' initial 2017 contract for M109A7 production, bringing the total contract value to $2.5 billion.

Production and support activities for the M109A7 and M992A3 occur at the Anniston Army Depot in Alabama and various BAE Systems facilities in York, Pennsylvania; Minneapolis, Minnesota; Sterling Heights, Michigan; Endicott, New York; Elgin, Oklahoma; and Aiken, South Carolina.