US proposes $230 million sustainment package for India's M777 howitzers

The United States is set to conclude a proposed $230 million sustainment package for India's M777A2 ultra-light howitzers, U.S. Ambassador to India Sergio Gor said on Monday, in a move aimed at helping the Indian Army maintain the artillery systems and supporting broader defence cooperation between the two countries.

In a post on X, Gor said the package was ready to be finalised and would help India retain a critical defence capability while advancing broader strategic ties between the two countries.

"The United States and India continue to work together daily. Our defense partnership is growing," Gor said, adding that the proposed package would support India's national security requirements.

The announcement follows a notification issued by the U.S. Defense Security Cooperation Agency (DSCA) on June 17, which said the proposed sale would contribute to strengthening the strategic relationship between the United States and India.

According to the DSCA, the package, valued at an estimated $230 million, includes spares, repair and return services, training, technical assistance, field service representatives, depot capability, ancillary equipment, and other logistics and programme support elements.

The agency said the proposed sale would enhance India's ability to address current and emerging security challenges, strengthen homeland defence, and deter regional threats. It also described India as an important defence partner that contributes to stability, peace and economic progress across the Indo-Pacific and South Asia.

The principal contractor for the package will be UK-based BAE Systems.

The proposed deal comes after the U.S. State Department in May approved potential sales to India worth more than $428 million, including sustainment support for AH-64E Apache attack helicopters and long-term support for M777A2 ultra-light howitzers.

The Apache package is valued at approximately $198.2 million, while the M777 sustainment package is estimated at around $230 million. Boeing and Lockheed Martin have been identified as the principal contractors for the Apache support programme.

India inducted the M777 howitzer under a 2017 Foreign Military Sales agreement with the United States. Under the deal, BAE Systems received a $542 million contract from the U.S. Department of Defense to supply 145 M777 ultra-lightweight howitzers to the Indian Army.

The M777 is a 155mm lightweight towed artillery gun designed for rapid deployment and mobility. Capable of being transported by land, sea and air, the system is used by the armed forces of the United States, Canada, Australia and India. BAE Systems says more than 1,200 M777 howitzers have been ordered globally.