Army Awards Lockheed Nearly $10 Billion Patriot Missile Contract
The $9.8 billion contract includes 1,970 PAC-3 MSE interceptors to support the U.S. and 17 allied nations amid increased demand from global conflicts, officials said.
- The U.S. Army awarded Lockheed Martin Missiles and Fire Control a $9.8 billion multiyear contract on September 3, 2025, to procure 1,970 PAC-3 MSE interceptors for the U.S. and allies.
- Amid heightened global tensions, the Army moved to a multiyear buy responding to conflicts in Ukraine and the Middle East, with Congress granting procurement authorities and the Department of Defense securing goods beyond a fiscal year.
- Production is accelerating with plans to deliver more than 600 interceptors in 2025, including approximately 618, as Lockheed Martin ramps up from roughly 550 per year to a target of 650 per year by 2027.
- Officials say the deal will deliver cost predictability and savings while strengthening the munitions supply chain, and the $9.8 billion contract aims to better position the U.S. and international partners against multiple threats including ballistic and hypersonic missiles.
- Continued allied interest means Lockheed Martin is evaluating much higher production scenarios, positioning PAC-3 MSE as a cornerstone of integrated air and missile defense in the coming years.
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Army awards Lockheed nearly $10 billion Patriot missile contract
The U.S. Army has signed a $9.8 billion agreement with Lockheed Martin to build nearly 2,000 Patriot Advanced Capability–3 Missile Segment Enhancement (PAC-3 MSE) interceptors, along with launchers and support equipment. The company said it is the largest contract ever for its Missiles and Fire Control division. Army officials described it as a multi-year procurement covering fiscal years 2024 through 2026. Its aim is to secure cost predictabili…
Lockheed Martin Wins $9.8B Patriot Missile Contract
Army awards $9.8B contract to Lockheed Martin for PAC-3 MSE
The Army has awarded Lockheed Martin a $9.8 billion multiyear contract for the Patriot Advanced Capability-3 Missile Segment Enhancement system, the service's Program Executive Office for Missiles and Space announced today. The contract runs through fiscal year 2026 and includes the procurement of 1,970 missiles “and associated hardware for U.S. and international partners,” according to an Army news release. PAC-3 MSE, designed to counter tact…
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