Back to Market Signals
Market Signal: Aircraft Survivability

The production restart of Chemring Alloy Surfaces

Published September 4, 2026 / US countermeasure industrial base

Alloy Surfaces manufactures specialized pyrophoric infrared decoys that protect aircraft against heat-seeking missiles.

Its products supply platforms including the AH-64, UH-60, CH-47, F-16, A-10, C-130 and C-17.

~$42M

FY2023 prime obligations

~$2M

FY2025 prime obligations

$35M

guaranteed annually for three years

$45M

separate restart and IP OTA

Prime obligations fell sharply before the closure

Alloy Surfaces Company, CAGE 3A367

Mimir data shows prime obligations to the company rising from approximately $28 million in FY2021 to $42 million in FY2023. They then fell to around $22 million in FY2024 and just $2 million in FY2025.

~95% decline
FY2023 to FY2025
~$28M
FY2021
~$36M
FY2022
~$42M
FY2023
~$22M
FY2024
~$2M
FY2025
Chemring reported that insufficient orders could no longer support continuous manufacturing. The Chester, Pennsylvania facility closed in 2025.

The guaranteed demand floor closely matches the earlier run rate

The US government is now supporting the restart through two linked awards. More important than the production ceiling is the level of demand committed beneath it.

~$36M
Earlier annual run rate

Average annual prime obligations from FY2021 to FY2023

$35M
Guaranteed annual minimum

Committed for each of the first three production years

The annual commitment is almost identical to the approximately $36 million Alloy Surfaces received on average between FY2021 and FY2023, before obligations declined.

Two linked awards support the restart

$300M
Five-year production IDIQ ceiling

The production contract includes a guaranteed minimum of $35 million annually for the first three years.

$45M
Separate OTA

The OTA funds the manufacturing restart, production technical support and the transfer of key intellectual-property rights associated with Alloy Surfaces' pyrophoric decoys to the US government.

More than a new production order

The intervention restores the previous level of demand, finances the return of manufacturing capacity and gives the government greater control over the technology required to safeguard future production.

Selected platforms
AH-64UH-60CH-47F-16A-10C-130C-17
Sources and notes

Mimir analysis of positive prime contract obligations to Alloy Surfaces Company, CAGE 3A367, by fiscal year. Figures are rounded and percentage changes are calculated from unrounded values. Platform references reflect published Alloy Surfaces product material.

Sources: USAspending, FPDS, Mimir Data Platform and Modeling, US Army and Chemring.

Continue the research

Explore the next question with Ask Mimir

Continue the analysis
View all signals
Explore the underlying market

Mimir research tools

Privacy at Mimir

We use first-party product analytics to improve Mimir. You can opt out or choose campaign measurement.