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Pentagon Awards Mega Contracts to Firms Amid Iran War Strains
['Jen Judson', 'Tony Capaccio', 'Min Read']
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(Bloomberg) -- The Pentagon is accelerating defense production with multiyear mega contracts as the Trump administration seeks to enhance the armed forces and the Iran war intensifies demands on a dwindling US weapons stockpile.
Most Read from BloombergOn Wednesday alone, the Defense Department announced two massive contracts worth about $135 billion to major US defense companies.
The awards include nine new latest model "Block VI" Virginia-class attack submarines, equipped with an expanded capacity for Tomahawk cruise missiles.
The Iran war has only heightened concerns about the American defense industry.
US forces in the Middle East are using up vast amounts of high-value interceptors — costing around $4 million each — to defend against Iran's ballistic missiles and one-way attack drones.