Overview
- The plan targets an increase from roughly 600 PAC-3 MSE interceptors per year to about 2,000 over seven years to support U.S. forces and 17 allied Patriot operators.
- The announcement is a framework agreement rather than a definitive award, with an initial contract expected only if fiscal 2026 appropriations are approved.
- Officials cast the effort as a pilot of the Pentagon’s Acquisition Transformation strategy that promises longer, larger, more predictable buys to speed munitions output.
- Lockheed and the department described collaborative financing that preserves upfront cash neutrality and shares savings from higher-volume production, with seven-year supplier subcontracts to be negotiated.
- Lockheed delivered 620 PAC-3 MSEs in 2025 after boosting output by more than 60% in two years, as wartime use in Ukraine and the Middle East drives sustained demand.