Lockheed Martin has won a $4.76-billion US Army deal for PAC-3 Missile Segment Enhancement (MSE) missiles and related equipment and support.
The firm-fixed-price contract is primarily funded through foreign military sales valued at $4.49 billion, with an additional $265 million from US Army funds to bolster stockpiles and readiness.
Work will be performed in Huntsville, Alabama; Clearwater, Florida; East Aurora, New York; and several other states across the US. It is estimated to be completed by June 30, 2030.
PAC-3 MSE Capabilities
PAC-3 MSE is an upgraded variant of the Patriot air and missile defense system’s PAC-3 interceptor, featuring a dual-pulse rocket motor.
It flies farther, offers greater maneuverability, and features enhanced hit-to-kill technology against ballistic and cruise missiles, aircraft, and uncrewed aerial systems.
The system is operated by several US allies, including Bahrain, Poland, and Ukraine.
Rising global demand has prompted Lockheed to triple annual production from 600 missiles to approximately 2,000, following a major agreement with the Pentagon signed in January.
To support this expansion, the American defense contractor has partnered with firms including Germany’s Diehl Defence and Spanish companies Tecnobit‑Grupo Oesía and Sener to strengthen its supply chain.
