BAE Systems has secured a new contract from the US Navy to produce a fresh batch of missile canisters for front-line surface ships. The initial $22-million agreement includes canisters for the MK 41 Vertical Launching System and ongoing production of MK 29 GMLS units, with the full contract potentially reaching $317 million if additional options are activated.
Manufacturing will be carried out at BAE’s Aberdeen, South Dakota facility, while engineering and program oversight will be handled in Minneapolis. This latest award builds on a $738-million contract issued in July 2024 for MK 41 VLS canisters, highlighting continuing modernization efforts across the Navy’s missile-launching infrastructure.
The MK 41 VLS is a versatile vertical-launch architecture used across US and allied warships. Positioned beneath the armored deck, the system’s eight-cell modules can launch a wide array of weapons—from Tomahawk land-attack cruise missiles to SM-6 long-range air defense interceptors and anti-submarine rockets. While Lockheed Martin developed the launcher, BAE Systems supplies the canisters that secure and transport individual missiles.
The system equips many of the Navy’s most capable vessels, including Arleigh Burke-class destroyers, and is also deployed by multiple partner nations such as the United Kingdom, Germany, and Japan. Recently, Lockheed and Germany’s Diehl Defence agreed to study the integration of the IRIS-T missile into the MK 41, signaling expanding international use.
BAE’s contract also supports production of canisters for the MK 29 Guided Missile Launching System, an above-deck launcher used for the ESSM and Sea Sparrow missiles. The MK 29 stores up to eight rounds and must be manually reloaded. Though older, it remains operational aboard certain ships, including the Nimitz-class aircraft carriers.
