Cincinnati/ Politics & Govt

West Chester Engine Maker CFM Lands $490M Navy Deal For Poseidon Fleet

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Published on October 16, 2026
West Chester Engine Maker CFM Lands $490M Navy Deal For Poseidon FleetSource: Stephenmoll / Wikimedia Commons

A West Chester Township company just locked down one of its biggest Navy deals yet. CFM International has been awarded a $489.74 million contract to build up to 24 core engines for the Navy's P-8A Poseidon patrol aircraft, with the work split between facilities in France, North Carolina and Ohio.

The firm-fixed-price, indefinite-delivery/indefinite-quantity contract covers up to 12 CFM56-7B27AE engine cores for the U.S. Navy and another 12 for Foreign Military Sales customers, according to Army Recognition. The deal, first reported locally by The Business Journals, also folds in one CFM56-7B24E core for the Navy's C-40A fleet along with engine covers, stands and cradles.

Production will be divided among CFM's Villaroche, France plant; Durham, North Carolina; and Peebles, Ohio, with the work expected to wrap up in September 2031, per the same outlet's reporting. It's worth noting that no money was actually obligated when the contract was awarded, which means the $489.7 million figure represents a procurement ceiling rather than cash already spent.

Why the Navy Needs More Poseidon Engines

The push for fresh engine cores comes as the Navy has flagged a shortage in its P-8A spares inventory, including the CFM56-7B27 engine that powers the Poseidon. Military Aerospace reports that the P-8A engine inventory remains short, a gap this contract is designed to help close. The P-8A Poseidon serves as the Navy's primary maritime patrol and reconnaissance aircraft, and keeping its fleet properly stocked with engine cores has become a recurring procurement priority.

This isn't the Navy's only recent move to shore up Poseidon readiness. On August 20, the Navy awarded Boeing a separate $156.2 million contract for up to 31 P-8A Engine Build-Up kits and two C-40A quick engine change kits, supporting both U.S. and foreign military customers. That deal, worth a potential $156,201,219, runs through August 2031 and will be performed in Tukwila, Washington.

A Familiar Partner for the Navy

CFM International isn't new to this kind of work. Back in November 2023, the company received a $47,775,000 modification to a previous Navy contract covering three CFM56-7B27 spare engines, two for the Navy and one for the government of Germany, according to Stars and Stripes. That earlier contract split work among the same three facilities, with Villaroche handling 53 percent, Durham 43 percent, and Peebles 4 percent, though those percentages applied to the 2023 award rather than the new one.

CFM International is a 50-50 joint venture between GE Aerospace and French manufacturer Safran, as Local 12 has reported. That station also noted CFM was separately awarded a $42.6 million U.S. Air Force contract for F108 fan blades, underscoring how often the West Chester-headquartered firm turns up in defense procurement news.

Part of a Bigger Pattern of Military Contracts

The new Poseidon engine deal follows a broader run of large CFM contracts tied to military engine supply chains. Last year, the company secured a potential $2.85 billion Defense Logistics Agency contract to supply F108 military aircraft engine parts for the Air Force and Navy, according to GovConWire. That agreement includes a four-year, four-month base period with a five-year option that could extend performance through October 31, 2029.

It echoes a similar arrangement from 2017, when the DLA awarded CFM a potential $2 billion contract for F108 engine replenishment spare parts, GovConWire's reporting shows. Beyond engine procurement, the Navy's Maritime Patrol and Reconnaissance Aircraft program office has also been focused on depot-level maintenance work ongoing at U.S.-based airframe facilities, according to the Naval Air Systems Command.