FY2025 obligations by the NAICS code on the award
91% of the $2.2B obligated under AR12 in FY2025 went to awards coded NAICS 541715.
- 541712 Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)not in NAICS 2022$173.1M
FY2025 federal contract obligations, USAspending.gov
PSC AR12 is applied research under the space flight, research and supporting activities subfunction: investigation directed at specific practical objectives supporting space missions, instruments, and operations. FY2025 obligations were $2.2 billion.
Almost purely a research code
Physical, Engineering, and Life Sciences R&D (541715) took $1.98 billion, about 91 percent of the total. 541712 follows at $173 million, then 336414, Guided Missile and Space Vehicle Manufacturing, at only $12 million, 336413 at $3 million, and 541714, Research and Development in Biotechnology (except Nanobiotechnology), at $3 million. Manufacturing barely registers.
The pair that proves the point
AR11, basic research in the same subfunction, is within a few percent of AR12 in total dollars and looks nothing like it: spacecraft and propulsion manufacturing codes hold two of the top three positions there. Same budget subfunction, one stage apart, opposite vendor bases. If you are building a market model on R&D stage alone, this pair should stop you.
The two code systems, once
A PSC records the government's classification of the requirement and a NAICS code records the government's classification of the industry of the work.
For a research institute or scientific services firm, AR12 is the more addressable of the two. Its concentration in 541715 means the code you need is the standard physical and engineering sciences R&D code.
PSC AR12 FAQ
What does PSC AR12 cover?
Applied research under the space flight, research and supporting activities subfunction: investigation directed at practical objectives supporting space missions, instruments, and operations.
What NAICS codes win AR12 work?
Physical, Engineering, and Life Sciences R&D (541715) took $1.98 billion of $2.2 billion in FY2025, roughly 91 percent. Every other code is under $173 million plus a small margin.
Why is AR12 so different from AR11?
AR11 basic research flows through flight hardware contracts held by spacecraft and propulsion manufacturers. AR12 applied research flows through research organizations. The stage label alone does not predict the vendor base.
What other space R&D codes exist?
The current manual lists AR11 through AR15 for the space flight, research and supporting activities subfunction, covering the five R&D stages. Older AR2x codes are legacy and no longer in the manual.
