The US Department of Defense has announced the signing of a historic seven-year framework agreement with Lockheed Martin that will more than triple production of the most advanced interceptor missiles for the Patriot air defense missile system — Patriot Advanced Capability-3 Missile Segment Enhancement (PAC-3 MSE).
According to the Pentagon, annual production of these missiles will increase from approximately 600 units to 2,000. In 2025, Lockheed Martin has already delivered 620 PAC-3 MSE missiles, which is 20% more than the previous year. The new agreement creates long-term demand certainty, stimulating investment in capacity expansion, automation, and supply chains.
“This agreement marks a fundamental shift in our approach to rapidly expanding ammunition production,” said Deputy Secretary of Defense for Acquisition and Sustainment Michael Duffy. It will meet growing demand from the U.S. military, 17 allied countries operating Patriot, and potential new partners.
PAC-3 MSE missiles are a key component of the Patriot system, which has proven highly effective in intercepting ballistic and cruise missiles, drones, and aircraft. Their active use in Ukraine against Russian attacks, as well as in the defense of US and allied facilities in the Middle East, has led to a significant depletion of stocks and the need for urgent ramp-up in production.
The agreement provides for cooperation with key component suppliers to conclude similar long-term subcontracts. The full contract is expected to be approved by Congress in fiscal year 2026. Lockheed Martin is already investing in the modernization of production lines, including the use of existing space and the introduction of advanced technologies.
Experts note that this move reflects the priorities of the new US administration to accelerate defense procurement and strengthen air defense capabilities in the face of global threats.