Defence spending has increased significantly in the US

US-based Raytheon will be the main contractor, with EADS assembling and delivering the planes to North America.

Raytheon will be responsible for the electronics and logistical support.

Pan-European firm EADS, which has a separate stand-alone North American division, is looking to expand in the world's biggest defence market.

Non-stop

Already, it has sold its Deepwater patrol aircraft to the US Coast Guard.

EADS, the European Aeronautic & Defence Company, is also looking for partners so that it can bid for a contract to supply the US Air Force with tankers that can refuel planes in mid-air.

EADS said on Monday that its net profit in the first quarter was 328m euros (�223m; $420m) and it expected "strong revenues" from its defence business.

Lawrence Stein, a spokesman for EADS North America, said that the tie-up between the plane maker and Raytheon was "a major partnership".

An US army spokesman said that details of its tender still had to be finalised.

EADS already is taking on US rivals such as Boeing in the passenger and commercial aeroplane market via its Airbus unit.

Airbus, which recently launched its super-jumbo the A380, is 80%-owned by EADS. The UK's BAE Systems controls the remaining 20% of the firm.