Lockheed Martin subsidiary Sikorsky has signed a novel production agreement with the US Army for Black Hawk helicopters, starting with 16 aircraft and structured to scale rapidly as demand grows.

The contract is designed to let the Army incorporate additional orders as requirements develop, a capability seen as particularly important for allied nations whose Foreign Military Sales (FMS) cases are still maturing. Over the coming years, the agreement is expected to expand by more than 100 aircraft.

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The award was concluded ahead of the end-of-year target that had previously been set, with both the government and Lockheed Martin moving to establish an agile procurement framework suited to a fast-changing acquisition environment.

Sikorsky vice president and general manager Rich Benton said: “This contract is not only fast but flexible. We’ve come to this structure to give the Army flexibility as their needs and budget change year-to-year, while maintaining a vehicle that can support FMS demand.

“This agreement turns a partner-nation decision into aircraft on the ramp faster than conventional procurement allows.”

Funding for the initial 16 helicopters draws on Congressional appropriations in fiscal years 2025 and 2026, supplemented by revenue from the Black Hawk Exchange and Sales Transaction (BEST) programme.

Through BEST, the Army divests older rotorcraft and reinvests the proceeds into new purchases, allowing it to acquire new Black Hawks without using taxpayer resources.

The deal ensures continuous production across Sikorsky’s supply network, which encompasses 230 suppliers spread across 43 US states. Sikorsky’s annual expenditure with this industrial base exceeds $1.5bn and is said to underpin roughly 55,000 American jobs.

Utility Helicopters Project Office Project Manager Col. Ryan Nesrsta said: “This contract ensures we maintain a ready, modern and survivable rotary-wing capability for the Army and our allies.

“The Black Hawk has long been a vital part of the Army and National Guard’s flexibility and will continue to be so for the next half century.”

According to Lockheed Martin, more than 5,000 Black Hawks have been delivered to over 36 nations, accumulating in excess of 15 million flight hours, including approximately five million combat hours.

Separately, Sikorsky is pursuing a series of platform upgrades that include a higher-horsepower engine, greater payload capacity, extended range, launched effects integration, autonomy features and a digital backbone built on a Modular Open Systems Approach.

These enhancements are intended to keep the helicopter operationally relevant into the 2070s.