
A defense plant tucked along McMann Road in Union Township just landed a major Pentagon deal, and it is about to get a lot busier. L3Harris Fuzing and Ordnance Systems, the Greater Cincinnati arm of defense contractor L3Harris Technologies, has been awarded a contract worth up to $98 million to manufacture mechanical proximity fuzes for upgrades to the Advanced Precision Kill Weapon System. Production is slated to take place at the company’s Union Township facility on McMann Road, where L3Harris says it will significantly expand output. The award speeds up a local manufacturing ramp tied to the Pentagon’s push for low-cost counter-drone munitions.
The Navy contracting office recorded the award on May 29, with a firm fixed price base order of about $48.5 million and option line items that would bring the cumulative total to roughly $98.4 million if exercised, according to the U.S. Department of Defense. The notice lists Cincinnati as the place of performance and shows initial work expected to finish by July 2027, with option periods extending through September 2028.
What the fuzes do
Known as FALCO, short for Fixed Wing, Air Launched, Counter Unmanned Aircraft Systems Ordnance, the upgrade turns standard APKWS rockets into counter-drone rounds. In a June 3 press release, the company outlined how the mechanical proximity fuze commands a warhead to detonate when it comes within a set distance of a target, effectively cueing the rocket to explode near small, nimble aircraft, according to L3Harris.
Defense reporting has described the FALCO-equipped APKWS as a relatively low-cost way to intercept small, fast aerial threats, rather than relying only on pricier missile systems, according to The Defense Post.
Local plant and capacity plans
The fuzes will be produced at L3Harris’ Clermont County facility at 3975 McMann Road in Union Township, according to the Cincinnati Business Courier. Clermont County permitting records also show recent work tied to L3 at that address, and the Business Courier reports the company is investing in tooling, modernized inspection equipment, and supplier expansion aimed at boosting output as demand grows. See Clermont County permit records for related filings.
Procurement notes
The Department of Defense contracts notice describes this award as a follow-on production contract for prototypes developed under an Other Transaction Agreement and says the award was issued non competitively under 10 U.S.C. §4022 and DFARS 206.001 70. That legal shorthand helps explain how the program moved so quickly from experimental prototypes to a full production line, per the DoD notice.
L3Harris listed media contacts in its press release and said the planned investments are intended to scale proximity fuse manufacturing to meet current military needs, though the company has not published firm hiring totals. We will update this story as L3Harris and local officials release further details about timing and workforce plans.









