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Raytheon seeing growth in missile defence systems because of rising ‘threat dynamics’

Reports say that the Swedish government was going to spend over US$1 billion for Raytheon’s U.S.-made Patriot surface-to-air defence missile system, largely due to the perceived increasing threat from Russia

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Visitors look at the models of various missles made by Raytheon System Limited on display at the Asian Aerospace 2000 Exhibition and Airshows in Singapore. Photo: AFP PHOTO/Roslan RAHMAN
CNBC

By Holly Ellyatt and Willem Marx

Defense company Raytheon is seeing a growth market in missile defence systems in Europe and the Middle East due to increased “threat dynamics,” the company’s chief executive told CNBC at the Dubai Airshow .

“There is (a growth market in Europe) as a direct result of the threat dynamic that our customers are seeing. They want to have the ability to protect their sovereignty,” Raytheon Chief Executive John Harris said Monday.

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Last week, the Swedish government said it was going to start negotiations to spend over US$1 billion for Raytheon’s U.S.-made Patriot surface-to-air defence missile system that it expects to be operational by 2025 at the latest.

The purchase comes amid increasing tensions near the Baltic Sea. The Baltic states (Estonia, Latvia and Lithuania) have fears over possible aggression from their neighbour Russia. Nordic countries, such as Sweden, have reportedly looked to deepen their defence cooperation with these Baltic states in response to this aggression.

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Remarking on the deal, Harris said that the Patriot system was “the world’s only combat-proven integrated air missile defence system” and that he was “really proud” to be able to supply the system to the Swedish government.

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