Defense giant BAE Systems announced receiving a contract for U.S. Armed Forces to supply M109A7 Paladin self-propelled artillery systems 40 units to be delivered plus an equivalent number of M992A3 carrier ammunition tracked vehicles, which by standard staffing go in 1:1 proportion.
The announced deal value is $473 million, also including additional services, particularly technical support and maintenance. Work will be performed at BAE Systems production facilities in Pennsylvania, Oklahoma, and Alabama. Work completion deadline isn't specified.
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Thus, one conditional M109A7 Paladin SPH together with standard loading vehicle in complex delivery for U.S. Armed Forces costs $1.82 million. However, this doesn't concern manufacturing machines from scratch.
The thing is, this contract as BAE Systems notes is part of a five-year framework agreement concluded in September 2025. It stipulated upgrading 689 M109A7 units to new version and their technical support until 2050. Such a term means the M109 SPH will definitely celebrate its 87th anniversary in service.
Although of course the newest M109A7 differs very strongly from first M109 version, with the main change arguably being moving the artillery section to new chassis unified with M2 Bradley, including suspension, transmission, and engine.
Meanwhile, the turret is taken from existing M109A6 Paladin with replacement of hydraulic drives with electric ones, increased loading mechanization volume, and significant fire control digital system update. The 155mm howitzer itself remains unchanged, 39 calibers long.
And the Pentagon isn't rushing at all to search for replacement of its self-propelled artillery system. Overall, this process has actually been going 30 years already, since canned XM2001 Crusader development, and as of end of 2025, very abstract requirements for desired SPH were formed.
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