BAE to restart M777 production in the UK

By Sam Cranny-Evans, published on 16th November 2024. 

BAE Systems is restarting production of components for the 155 mm M777 towed howitzer in the UK through a £25 million ($31.5 million) investment in a new factory in Sheffield that will come online in 2025, according to a 15th November BAE press release. 

The new 8,732 square metre (94,000 square feet)  facility will house a state-of-the-art artillery factory, delivering M777 howitzer manufacturing and supporting 50 jobs in the process, the press release states. 

The announcement is understood to be connected to a agreement signed by the US Army in January 2024 that was valued at $50 million (approx £39.6 million) for M777 major structures. It was termed an Undefinitized Contract Action, an agreement allowing the manufacturer to start work on delivery with a capped cost of $50 million, whilst the full terms and costs of the agreement are figured out. 

BAE said it would work with its supply chain in the US and UK to produce the titanium structures for the M777, which help reduce the gun’s weight compared to other towed howitzers. “This new contract creates the optimum conditions for a restart of M777 production in the UK,” BAE said, adding that existing and new customers could join the project to take advantage of a hot production line. 

A 155 mm barrel after being forged in a rotary forging machine at the Watervliet Arsenal. While key production capabilities like rotary forges for barrels are often retained to meet routine needs for artillery systems, other capabilities may decline without frequent orders.  Credit: John Snyder/US DoD

The M777 is a signature weapon of the US armed forces, which procured more than 1,000 of the guns between 2003 and 2018. For the initial production run, the M776 barrel was manufactured at the Watervliet Arsenal in the US, with the titanium structure and recoil mechanisms manufactured at BAE’s Barrow-in-Furness facility in the UK. KNDS US manufactured the traverse and elevation drives on the gun, as well as other components, and has continued to do so in support of the US armed forces. The stabilisers, spades, and trails were manufactured by Major Tool and Machining Inc in Indianapolis, while Rock Island Arsenal produced the breech operating and load tray system. The titanium was supplied by RTI International Metals from Ohio, and a company called HydroMill saw to the assembly of the howitzer’s main body, according to Janes. Final assembly and integration was also carried out at a BAE facility in the US. Most of the companies in the original supply chain mentioned above still exist, RTI International Metals was bought by a company called Alcoa in 2015. Alcoa was awarded a contract to supply titanium into the F-35 programme that same year. 

Calibre comment

The available information on M777 orders indicates that between 2021 and 2024, the M777 supply chain may have had few if any orders. The last known order for the system was completed by BAE at some point in 2021, with delivery of 25 M777A2s to India as part of a 145 gun contract. The remaining 120 were to be assembled locally by Mahindra Defence Systems Ltd.

It is likely that barrel production at Watervliet continued, as barrels are a key consumable for artillery systems and the war in Ukraine has undoubtedly driven production. Otherwise, it is possible that production of the major structures had ceased and the manufacturing capability declined. This is a common occurrence within the defence industry; idle production lines are expensive to maintain, and supply chains will require income whether there are orders or not. This may mean that companies further down the supply chain diversify and even divest their production capabilities in search of more stable income. 

That said, the available information on other entities within the original M777 supply chain shows that many are still active in the defence industry and they may be positioned to quickly restart production for the M777. Altogether, this means that BAE’s investment in the UK is definitely a welcome one, and it will likely re-establish some vital manufacturing capability in the country, but it remains necessary for governments to place contracts and ensure ongoing support, or face losing this capability again in a matter of decades.