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Arms Sales Notification - Iraq Contracted Logistical Services ($90M)

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Summary

The Defense Department published a notice of a proposed $90 million arms sale to Iraq for contracted logistical services supporting VACIS XPL vehicle scanning systems. The sale includes maintenance, help desk support, spare parts, software updates, and technical support for the Ministry of Interior's inspection systems. No Major Defense Equipment is included in this notification.

What changed

The DoD published a notice under Section 36(b) of the Arms Export Control Act for a proposed $90 million sale of contracted logistical services to Iraq. The services include 24/7 help desk, maintenance, spare parts, software updates, and technical support for VACIS XPL passenger vehicle scanning systems over two years. No Major Defense Equipment is involved.

This notification fulfills statutory requirements to inform Congress of proposed foreign military sales. Affected parties should monitor for Congressional review outcomes, as Congress has authority to block or modify arms sales. Defense contractors providing logistical support may need to track this notification for export compliance purposes.

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  1. Monitor for updates

Archived snapshot

Apr 15, 2026

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Notice

Arms Sales Notification

A Notice by the Defense Department on 04/15/2026

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  • Public Inspection Published Document: 2026-07274 (91 FR 20147) Document Headings ###### Department of Defense
Office of the Secretary
  1. [Transmittal No. 25-90]

AGENCY:

Defense Security Cooperation Agency, Department of Defense (DoD).

ACTION:

Arms sales notice.

SUMMARY:

The DoD is publishing unclassified text of an arms sales notification.

FOR FURTHER INFORMATION CONTACT:

Urooj Zahra at (703) 695-6233, urooj.zahra.civ@mail.mil, or dsca.ncr.rsrcmgmt.list.cns-mbx@mail.mil.

SUPPLEMENTARY INFORMATION:

This 36(b) arms sales notification is published to fulfill the requirements of section 155 of Public Law 104-164 dated July 21, 1996. The following is a copy of a letter to the Speaker of the House of Representatives with attached Transmittal 25-90 and Policy Justification.

Dated: April 10, 2026.

Stephanie J. Bost,

Alternate OSD Federal Register Liaison Officer, Department of Defense.

( printed page 20148)

Transmittal No. 25-90

Notice of Proposed Issuance of Letter of Offer Pursuant to Section 36(b)(1) of the Arms Export Control Act, as amended

(i) Prospective Purchaser: Government of Iraq

(ii) Total Estimated Value:

| Major Defense Equipment * | $ 0 |
| Other | $90 million |
| TOTAL | $90 million |
Funding Source: National Funds

(iii) Description and Quantity or Quantities of Articles or Services under Consideration for Purchase:

Major Defense Equipment (MDE):

None

Non-Major Defense Equipment:

Extension of Contracted Logistical Services (CLS), including 24/7 help desk service, for two years in support of the Ministry of Interior's Vehicle and Cargo Inspection System (VACIS) XPL passenger vehicle scanning systems; corrective and preventive maintenance; spare and repair parts; software updates, remote monitoring; U.S. Government and contractor engineering, technical, and logistics support services; and other related elements of logistics and program support.

(iv) Military Department: Army (IQ-B-ZCR)

(v) Prior Related Cases, if any: None

(vi) Sales Commission, Fee, etc., Paid, Offered, or Agreed to be Paid: None known at this time

(vii) Sensitivity of Technology Contained in the Defense Article or Defense Services Proposed to be Sold: None

(viii) Date Report Delivered to Congress: February 5, 2026

* as defined in Section 47(6) of the Arms Export Control Act.

POLICY JUSTIFICATION

Iraq—Contracted Logistical Services for VACIS XPL Passenger Vehicle Scanning Systems

The Government of Iraq has requested the extension of Contracted Logistical Services (CLS), including 24/7 help desk service, for two years in support of the Ministry of Interior's VACIS XPL passenger vehicle scanning systems; corrective and preventive maintenance; spare and repair parts; software updates, remote monitoring; U.S. Government and contractor engineering, technical, and logistics support services; and other related elements of logistics and program support. The estimated total cost is $90 million.

This proposed sale will support the foreign policy goals and national security objectives of the United States by improving the security of a partner country that is a force for political ( printed page 20149) stability and economic progress in Middle East.

The proposed sale will improve Iraq's capability to meet current and future threats by providing continuation of CLS for these scanning systems, enabling border forces to detect the inflow of weapons; chemical, biological, radiological, and nuclear (CBRN) agents; narcotics; and other forms of contraband at Iraq's borders. Iraq will have no difficulty absorbing these articles and services into its armed forces.

The proposed sale of this equipment and support will not alter the basic military balance in the region.

The principal contractor will be Leidos, located in Reston, VA. At this time, the U.S. Government is not aware of any offset agreement proposed in connection with this potential sale. Any offset agreement will be defined in negotiations between the purchaser and the contractor.

Implementation of this proposed sale will not require the assignment of any additional U.S. Government or contractor representatives to Iraq.

There will be no adverse impact on U.S. defense readiness as a result of this proposed sale.

BILLING CODE 6001-FR-P

BILLING CODE 6001-FR-C

[FR Doc. 2026-07274 Filed 4-14-26; 8:45 am]

Published Document: 2026-07274 (91 FR 20147)

Named provisions

Section 36(b) Arms Export Control Act Transmittal 25-90 Policy Justification

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Last updated

Classification

Agency
Defense Department
Published
April 15th, 2026
Instrument
Notice
Legal weight
Non-binding
Stage
Final
Change scope
Minor
Document ID
91 FR 20147 / Transmittal No. 25-90
Docket
Transmittal No. 25-90

Who this affects

Applies to
Government agencies Importers and exporters
Industry sector
9211 Government & Public Administration
Activity scope
Defense article export Military logistics Foreign military sales
Geographic scope
United States US

Taxonomy

Primary area
International Trade
Operational domain
Compliance
Compliance frameworks
ITAR/EAR
Topics
Defense & National Security Export Controls

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