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Avio's US rocket motor plant to supply Raytheon and Lockheed Martin
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Avio's US rocket motor plant to supply Raytheon and Lockheed Martin
Nov 10, 2025 8:39 AM

ROME, Nov 10 (Reuters) - Raytheon and Lockheed Martin ( LMT )

will be the major customers of Avio's planned

solid rocket motor plant in the United States, the Italian

rocket maker said on Monday.

Raytheon, which is the defence arm of aerospace giant RTX

, and Lockheed Martin ( LMT ) will have preferred access to a

share of production at the plant, Avio said in separate

statements on the two agreements.

Avio has not announced where the plant will be built but has

said it will be operational by early 2028.

"This agreement will help establish an additional supplier

of solid rocket motors within the U.S.," said Bob Butz, Vice

President of Operations, Supply Chain and Quality at Raytheon.

Avio will direct 80% of an ongoing 400 million euro ($466.48

million) capital increase for development of the site, its CEO

told Reuters in October.

"The establishment of Avio's SRM facility will allow us to

bring our proven solid propulsion expertise to the United

States, contributing to the innovation and development of a

critical industrial supply chain," Jim Syring, CEO of Avio USA,

said.

The solid rocket motor (SRM) market is growing due to rising

military spending globally, particularly for missiles and

tactical weapon systems, as countries aim to upgrade their

defence capabilities with advanced missile technologies.

The President of Lockheed Martin Missiles and Fire Control

Tim Cahill said the collaboration with Avio would allow the

group to commit to a "diverse, resilient supply chain for solid

rocket motors".

Avio CEO Giulio Ranzo told Reuters that the two deals were

"fundamental, and give great solidity" to Avio's U.S. plan.

They come right after Italian state-controlled defence group

Leonardo cut its share in Avio to a little more than

19% and said last week that it was not interested in investing

further in the group because it is already part of European

missile maker MBDA.

($1 = 0.8575 euros)

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