The U.S. Defense Security Cooperation Agency notified Congress Thursday of plans to sell Japan an E-767 Airborne Warning and Control System (AWACS) Mission Computing Upgrade (MCU), plus associated equipment, parts, training, and logistical support. The total cost of this package would be $950 million.

This sale would include:

  • Four Electronic Support Measure (ESM) Systems, used for interception and analysis of communications and of radar emissions from surveillance, fire-control or missile guidance radars. This would provide one such system with which to upgrade each of the four E-767 AWACS in the Japan Air Self-Defense Force.
  • Eight AN/UPX-40 Next Generation Identify Friend or Foe (NGIFF) systems (to determine the identity of objects detected).
  • Eight AN/APX-119 IFF Transponders (to identify the AWACS to friendly aircraft).
  • Four KIV-77 Cryptographic Computers (for secure communications).

Boeing (NYSE: BA) would be the primary contractor on this defense contract.

DSCA noted that Japan wants to buy the equipment upgrade to enhance its AWACS command and control capability and bolster its capacity for self-defense. Also, DSCA said that "this upgrade will allow Japan's AWACS fleet to be more compatible with the U.S. Air Force AWACS fleet baseline and provide for greater interoperability."

DSCA assured Congress that sale of the equipment "will not alter the basic military balance in the region" and will have "no adverse impact on U.S. defense readiness."

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