Arconic Signs $45Mln Deal To Boost Aluminum Output For US Missiles - Pentagon

WASHINGTON (UrduPoint News / Sputnik - 17th June, 2023) The US government has signed a $45.5 million contract with the Arconic Corporation to assure its supply chain sourcing of aluminum to make missiles and munitions, the Department of Defense announced in a press release on Friday.

"The Department of Defense's Office for the Assistant Secretary of Defense for Industrial Base Policy (OASD IBP) has entered into an agreement with Arconic Corporation to increase production of missiles and munitions," the release said.

The goal of the $45.5 million agreement with Arconic is to increase production of High Purity Aluminum (HPA) at its facility in Davenport, Iowa, the release explained.

"The low-cost production of HPA by foreign smelters has resulted in decreased production of HPA in the United States.� ...(Therefore)

The project will provide the United States much-needed surge capacity for HPA production and mitigate risks to national security in the event of an industrial mobilization," the release said.

Arconic will use its funding for the project to construct infrastructure at its facility to accommodate increased production capacity and new equipment, including a new furnace and new control and automation systems, the Defense Department said.