US approves sale of M777 howitzer maintenance services to Ukraine worth over US$200 million

The US Department of State has approved the potential sale to Ukraine of services for the repair, maintenance and logistics of M777 howitzers. The total value of the package is US$203.5 million.

Source: press release from the Pentagon

Details: The press release said the first contract, worth US$104 million, envisages the sale of military equipment, repair services and support for M777 howitzers and related systems. The main contractor for this deal will be the UK-based BAE Systems.

The second contract, worth US$99.5 million, covers transportation and logistics services. The main contractor for this package will be selected from among approved US suppliers.

The Pentagon stressed that there is currently no information about any offset agreements within the framework of this deal.

Quote: "This proposed sale will support the foreign policy and national security objectives of the United States by improving the security of a partner country that is a force for political stability and economic progress in Europe."

Background: 

• On 11 July, the US Senate Armed Services Committee approved the allocation of US$500 million for security assistance to Ukraine as part of the draft defence budget for the 2026 fiscal year.
• On 23 July, the US Department of State approved the sale of two military aid packages to Ukraine. The first package includes HAWK Phase III air defence systems and their maintenance, while the second includes Bradley infantry fighting vehicles and their repair.
• Trump also announced the transfer of up to 17 Patriot air defence systems to Ukraine in the near future.

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