Following the transfer of commanding Officer Stewart B. O'Neill, he assumed command of the squadron and took part in the Solomon Islands Campaign. Elwood was stationed at Vella Lavella and took part in the combats at Bougainville and later at New Britain during the bombing of Rabaul. He distinguished himself during that engagement, shooting down five enemy aircraft and damaged several others while flying a Vought F4U Corsair. For this achievement, Elwood was decorated with Distinguished Flying Cross, Air Medal and was designated Marine Corps Ace.