November 5, 2020 – The State Department has made a determination approving a possible Foreign Military Sale to the Government of Canada of Standard Missile 2 (SM-2) Block IIIC missiles and related equipment for an estimated cost of $500 million. The Defense Security Cooperation Agency delivered the required certification notifying Congress of this possible sale today.
The Government of Canada has requested to buy one hundred (100) Standard Missile 2 (SM-2) Block IIIC missiles; and one hundred (100) MK 13 Vertical Launch Systems (VLS) (canisters modified to employ the SM-2 Block IIIC missile). Also included is obsolescence engineering; integration and test activity associated with production of subject missiles; canister handling and loading/unloading equipment and associated spares; training and training equipment/aids; technical publications and data; U.S. Government and contractor engineering, technical, and logistics support; and other related elements of logistical and program support. The total estimated program cost is $500 million.
This proposed sale will support the foreign policy and national security objectives of the United States by helping to improve the military capability of Canada, a NATO ally that is an important force for ensuring political stability and economic progress and a contributor to military, peacekeeping and humanitarian operations around the world.
This proposed sale will provide Canada with SM-2 Block IIIC missiles for installation on its planned 15 Canadian Surface Combatant (CSC) ships, ensuring its ability to operate alongside U.S. and Allied naval forces against the full spectrum of naval threats. Canada will have no difficulty absorbing this equipment into its armed forces.
The proposed sale of this equipment and support will not alter the basic military balance in the region.
The principal U.S. contractor will be Raytheon Missiles and Defense, Tucson, AZ. The purchaser typically requests offsets. Any offset agreement will be defined in negotiations between the purchaser and the contractor(s).
Implementation of the proposed sale will require U.S. Government and contractor personnel to visit Canada on a temporary basis in conjunction with program technical oversight and support requirements, including program and technical reviews, as well as to provide training and maintenance support in country.
There will be no adverse impact on U.S. defense readiness as a result of this proposed sale.
This notice of a potential sale is required by law. The description and dollar value is for the highest estimated quantity and dollar value based on initial requirements. Actual dollar value will be lower depending on final requirements, budget authority, and signed sales agreement(s), if and when concluded.