Lockheed Martin and the U.S. Department of War Expand THAAD Interceptor Production

In a landmark step toward reinforcing the layered missile-defense architecture in the U.S., Lockheed Martin and the Department of War (DoW) have signed a new framework agreement that will quadruple the production capacity of Terminal High Altitude Area Defense (THAAD) interceptors, from 96 to 400 interceptors per year. The announcement builds on an earlier partnership established this month to accelerate PAC-3® Missile Segment Enhancement (MSE) interceptor output, marking the second "first-of-its-kind" framework agreement between Lockheed Martin and the DoW.

Lockheed Martin will break ground on a new Munitions Acceleration Center in Camden, Arkansas. This world-class facility will prepare the workforce of the future to build THAAD, PAC-3 and other capabilities using advanced manufacturing, robotics and digital technologies.

THAAD is already deployed across strategic sites in the U.S. and globally, and has demonstrated its effectiveness in recent real-world operations, reinforcing its role as a critical shield against short-, medium- and intermediate-range ballistic missiles. By utilizing hit-to-kill precision, its unique ability to engage threats both inside and outside the atmosphere makes it capable of providing a full-spectrum defense against evolving missile threats.

By increasing production from the current 96 to 400 interceptors per year, the agreement ensures that the U.S. and its allies will have a robust supply of ready-to-launch missiles to protect civilians and critical infrastructure.

The THAAD program occupies more than 340,000 square feet of production space and employs over 2,000 team members who support component fabrication to final assembly. Lockheed Martin is planning a multibillion-dollar investment over the next three years to expand production and build and modernize more than 20 facilities in Arkansas, Alabama, Florida, Massachusetts and Texas. This includes upgrading existing facilities and incorporating advanced manufacturing techniques, production lines, tooling and plant layouts to meet urgent production demand.

Since 2016, Lockheed Martin has increased deliveries of six critical munitions by more than 220% and plans an additional 245%+ increase to support delivery of PAC-3 and THAAD capability. This has resulted in manufacturing jobs growth of more than 60% since President Trump's first term, with additional growth of ~50% projected by 2030 to sustain higher production rates.

This agreement is a result of the DoW's Acquisition Transformation Strategy: a sweeping reform initiative that is the most significant overhaul of U.S. defense procurement in decades.

"We are committed to further building on the Department of War's vision for advancing acquisition reform with additional framework agreements for the critical munitions needed by the U.S. military and our allies. Today's agreement to quadruple THAAD production means we will have more interceptors available than ever before to deter our adversaries," said Lockheed Martin Chairman, President and CEO Jim Taiclet.

As geopolitical tensions arise, the ability to field interceptors on demand becomes paramount. Global demand for Lockheed Martin's offensive and defensive systems is unprecedented, driven by proven battlefield performance and the urgent need for speed, precision and scalable solutions.