US-based defense company Raytheon has signed a $250 million contract with Japan’s Mitsubishi Electric Corporation (MELCO) to support the licensed production of the Evolved Sea Sparrow Missile (ESSM) Block 2.
According to a statement from Raytheon, the company will supply missile kits, technical support, and spare parts for the assembly of ESSM Block 2 missiles at MELCO’s manufacturing facilities in Japan. Through this collaboration, Japan will strengthen its position in the production and sustainability of ESSM, one of the world’s most widely used ship-based air defense missile systems.
“The Result of Decades-Long Cooperation”
Barbara Borgonovi, President of Raytheon’s Naval Systems business, commented on the agreement, saying, “This licensed production arrangement is a reflection of our longstanding partnership.” She added, “Japan’s investment in this critical defense system not only enhances its military capabilities but also reinforces the vital security alliance between our countries.”

More Than 50 Years of Deepening Collaboration
Raytheon and MELCO have been cooperating in defense technologies for over 50 years. With this new contract, Japan will maintain its ESSM inventory while significantly enhancing its defense industry infrastructure.
The agreement was finalized at a crucial time when Japan is expanding its naval and missile defense amid rising regional security concerns. Raytheon will continue providing technical support to MELCO and ensure that production quality and system performance meet alliance standards. The company aims to sustain a long-term partnership with Japan.
Technical Features of ESSM Block 2
ESSM Block 2 is a short- to medium-range missile system launched from naval platforms, developed to counter air and surface threats. Compared to Block 1, it offers improved maneuverability, extended range, and an advanced dual-mode guidance system, reducing reliance on ship radars.
The system integrates with various naval platforms to provide operational flexibility in high-threat maritime environments. According to Raytheon, ESSM Block 2 features a software-based architecture, allowing upgrades against future threats without hardware redesign. The missile is produced as part of a joint development program within the NATO Sea Sparrow Consortium, which consists of 12 member countries.

