Lockheed Martin has been awarded a seven-year undefinitized contract action (UCA) by the U.S. government, valued at up to $35 billion, to significantly expand production of Terminal High Altitude Area Defense (THAAD) interceptors. The contract aims to quadruple output to meet growing missile defence requirements for the United States and its allies.
The award is among the first major multiyear procurement contracts under the Department of War’s Acquisition Transformation Strategy, highlighting a shift towards faster and more scalable defence acquisition. It also marks one of the initial transitions from a framework agreement to full contract execution under the initiative.
This development operationalises the THAAD framework agreement signed earlier this year, providing a long-term demand signal to accelerate manufacturing capacity, strengthen the defence industrial base, and ensure timely delivery of advanced missile defence systems.
The announcement follows Lockheed Martin’s continued investments in production infrastructure, including a new Munitions Production Center in Troy, Alabama. As part of its broader expansion, the company plans to invest over $9 billion through 2030, supporting more than 20 new or upgraded facilities across the United States.
These efforts reinforce Lockheed Martin’s commitment to scaling missile defence capabilities and addressing increasing global demand for advanced interceptor systems.
