
The US Department of Defense has awarded Raytheon a $698.9-million contract to supply National Advanced Surface-to-Air Missile System (NASAMS) fire units to Taiwan.
The work will take place in Tewksbury, Massachusetts, and is scheduled to be finalized by February 2031.
Funded through the Pentagon’s fiscal 2026 foreign military sales program, the deal comes days after Washington approved a separate $330-million package for fighter jet spare parts.
That order is America’s first announced arms sale to Taiwan since President Donald Trump began his second term.
Budget and Oversight
Taipei’s defense budget for fiscal 2026, announced in September, publicly listed the NASAMS program for the first time, allocating approximately 35.7 billion New Taiwan dollars ($1.1 billion) for radar, launch units, training, and pre-delivery preparation through 2030.
To oversee progress in the US, two Taiwanese officers were sent last month to monitor contract work, track delivery schedules, and coordinate logistics under the initiative.
Air Defense Upgrade for Rising Threats
Taiwan’s defense ministry said that NASAMS, which has already proven effective in the Russia–Ukraine war, will be central to modernizing its defense network amid ongoing tensions with China and is expected to “strengthen Taiwan’s defenses” even more.
NASAMS uses automated sensors, tracking tools, and command software to quickly identify and engage incoming threats.
The agency noted that the new launchers will be paired with two radar systems designed to improve detection range and reduce the impact of electronic interference.
Once deployed, the missile systems will operate alongside Taiwan’s existing medium and long-range air-defense missiles to form a multilayered shield around critical sites.
The Republic of China Air Force further specified that the systems will be stationed across bases, ports, and radar stations, providing a faster, more flexible defense that can reposition quickly and distribute firepower.