Pentagon picks Boeing for new US Navy contract valued at $20 billion for air strike weapons

The Pentagon has selected Boeing to manufacture the US Navy's next-generation fighter jets, valued at $20 billion, according to official announcements on Tuesday. The contract, part of the Next Generation Air Dominance Program, will produce F/A-XX aircraft, also known as strike fighters, with these new jets set to replace the current Super Hornets fleet starting in the 2030s.

This decision marks the second time Boeing has been chosen by the Pentagon during the second Trump administration for a sixth-generation weapons system. In March 2025, the Air Force opted for Boeing to build a new stealth fighter.

Steve Parker, Boeing's head of Defense, Space & Security, stated that the company will deliver two advanced fighters concurrently, an approach that aligns with their investment strategy. Parker emphasized their readiness and capability to build multiple future combat aircraft programs concurrently. Undersecretary Michael Duffey of the Pentagon described the F/A-XX platform as a critical, non-negotiable investment in America's national security and long-term air combat capabilities, stating that they are partnering with Boeing to deploy these capabilities.

Boeing is in the process of constructing its secure manufacturing facility in St. Louis, identified as the largest of its kind in the United States. The technical and programmatic specifics of the F/A-XX remain classified under U.S. national security and export regulations. Boeing competes against Northrop Grumman for this contract, with Northrop offering a highly survivable, digitally advanced sixth-generation fighter for the US Navy. Northrop expressed anticipation of receiving additional details regarding Boeing's selection.

Admiral Daryl Caudle, Chief of Naval Operations, informed a Senate panel in May 2026 that a next-generation system is imperative to extend the reach, survivability, and lethality of carrier aviation, expected to function synergistically with unmanned systems. Caudle warned that missing the scheduled timeline for fielding this capability could pose risks to air superiority, strike reach, and the enduring viability of carrier-based operations in hostile environments.

Following the announcement, Boeing's shares increased by 2.4% in after-hours trading, whereas Northrop Grumman experienced a decline of 3.6%.