Chinook is the Army's only heavy-lift helicopter, likely to remain in service until 2060.
On February 8, the U.S. Army surprised much of official Washington by announcing it would cancel a planned scout helicopter—previously billed as the service’s top aviation modernization priority.
The news release revealing the change said the Army has concluded that unmanned systems (drones) and space sensors will play a bigger role in future battlefield reconnaissance, reducing the need for a manned scout helicopter.
The decision reflects an Army willingness to shift course as conditions change. The war in Ukraine has demonstrated that drones will be a central feature of future ground combat, and the Army is rebalancing its modernization plan in light of that trend.
So, it will invest more in unmanned aircraft systems, while reallocating money within its aviation portfolio in favor of other rotorcraft. (It is also investing heavily in counter-drone technology.)
That part of the story has been widely reported. What relatively few observers have noticed, at least so far, is that the new modernization priorities are giving a big boost to Boeing’s
By killing the scout helicopter, the Army has freed up enough funding to make a long-term commitment to the company’s upgrade of the CH-47F Chinook—a heavy-lift helicopter produced at Boeing’s plant in suburban Philadelphia.
Although Chinook is expected to remain in the force until 2060, the Army has never officially committed to upgrades beyond 69 much-needed special operations variants.
Now it appears that the other 465 Chinooks in the Army and National Guard will be enhanced to a “Block II” configuration—keeping the Philadelphia plant humming through the 2030s.
That plant is the largest industrial employer in the lower Delaware Valley, but without an Army commitment to Block II upgrades, its future was looking uncertain. It has already seen four rounds of layoffs, and over a thousand additional jobs were at risk.
Boeing contributes to my think tank.
The Army’s realignment is also good news for Boeing’s other major rotorcraft plant in Mesa, Arizona, where the AH-64E Apache attack helicopter is built.
Boeing is currently in the midst of remanufacturing or replacing over 800 Apaches, restoring the helicopters to zero-time condition in the expectation they will remain the Army’s premier tank-killer for the next 30 years.
But the company will complete this work in 2028, and there was no comprehensive plan for follow-on improvements. By terminating the planned scout helicopter, the Army guarantees Apache will continue to perform the manned recon mission for many years to come—perhaps decades.
That means additional upgrades as Apache transitions to controlling a new generation of reconnaissance drones on future battlefields.
Since Apache is already highly valued for its anti-armor capabilities, there is no danger its role will be eclipsed as unmanned systems proliferate. The more likely outcome is that Apache will be permanently ensconced in that portion of the recon mission that still requires a manned airframe.
Army leaders have thus shored up a critical part of their aviation industrial base at a time when Boeing can really use the cashflow. They have also kept the door open for foreign customers to continue ordering Boeing’s two iconic helicopters, secure in the knowledge those aircraft will remain at the cutting edge.
Last year, Germany committed to buying 60 Block II Chinooks, while Poland announced plans to purchase 96 Apaches—making it the second biggest operator of Apaches in the world.
The Army’s rebalance also provided good news to its other two rotorcraft integrators, Bell Textron
The Army has even added an R&D funding line to the Black Hawk program to help Sikorsky keep its engineering team intact.
The Army has done a meticulous job of realigning its aviation modernization priorities without impairing its industrial base. Nobody in industry is complaining, least of all Boeing. The future looks bright for its rotorcraft operations.
Disclosure: As noted above, Boeing contributes to my think tank—the Lexington Institute.
