Northrop Grumman has been selected to manufacture and deliver an upgraded variant of the U.S. Navy’s MK54 lightweight torpedo, known as the MK54 MOD 2, under a contract valued at $233 million. The next-generation torpedo is intended to significantly enhance the Navy’s anti-submarine warfare (ASW) capabilities amid growing undersea threats.
The contract includes the development of a newly designed warhead aimed at improving lethality, along with manufacturing proof, qualification activities, and the delivery of multiple torpedoes for testing and evaluation. Integration work and early production validation will be carried out at Northrop Grumman’s facility in Plymouth, Minnesota, as well as at the Allegany Ballistics Laboratory in Rocket Center, West Virginia.
Northrop Grumman described the effort as an urgent U.S. Navy requirement, noting that expanded production capacity and advanced manufacturing capabilities will allow accelerated delivery. The Navy is targeting initial operational testing and evaluation (IOT&E) in 2027, reflecting the service’s priority to field enhanced undersea weapons in a compressed timeline.
The MK54 MOD 2 lightweight torpedo can be launched from surface combatants, fixed-wing maritime patrol aircraft, and rotary-wing platforms, enabling detection, classification, and engagement of hostile submarines. Building on the earlier MOD 0 and MOD 1 variants produced by Raytheon, the MOD 2 was developed under a trilateral collaboration involving the U.S. Navy, Australian Defence Force, and Northrop Grumman as prime contractor. L3Harris Technologies is also a key contributor, having successfully tested its Stored Chemical Energy Propulsion System in August 2025, a major milestone for the MOD 2 Increment 2 configuration.
