L3Harris Technologies has entered into a framework agreement with the US Department of War (DoW) and Lockheed Martin to increase propulsion production for the Terminal High Altitude Area Defense (THAAD) system.
The multi-year arrangement is designed to allow L3Harris to quadruple its output of propulsion components over a seven-year period. The contract is expected to be finalised later in the year.
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
Under the agreement, L3Harris will expand production of THAAD’s Solid Rocket Boost Motors (SRBMs) and the Liquid Divert and Attitude Control Systems (LDACS), which are supplied to the Missile Defense Agency.
The company manufactures SRBMs at facilities in Huntsville, Alabama, and Camden, Arkansas, while LDACS is produced at its Los Angeles site. This expansion marks the largest THAAD propulsion contract L3Harris has received to date.
L3Harris missile solutions president Ken Bedingfield said: “This framework agreement reaffirms L3Harris’ proven capability to quickly deliver critical defense systems at the rate the Department of War demands.
“The agreement builds upon our ongoing investments to build new facilities, incorporate modern manufacturing practices and bolster our suppliers to ensure we can support the critical systems that protect our nation and allies.”
THAAD is designed to intercept ballistic missiles at high altitudes, both inside and beyond the Earth’s atmosphere. The system is used for defence against short, medium, and intermediate-range missiles.
Production capacity is expected to increase in response to initiatives led by the Department of War’s Munitions Acceleration Council, which has identified key programmes requiring additional propulsion systems, including THAAD.
In support of the production ramp-up, L3Harris is investing across its solid rocket motor sites in Alabama, Virginia, and Arkansas, adding approximately 1m square feet of additional manufacturing and office space and constructing around 60 facilities.
L3Harris has also signed a separate framework agreement with the Department of War and Lockheed Martin for the PAC-3 Missile Segment Enhancement (MSE) programme. This agreement, described as the largest PAC-3 propulsion order secured by L3Harris, will allow the company to nearly triple its production volume for propulsion products used in the PAC-3 MSE interceptor.
The seven-year framework will cover the production of the PAC-3 MSE’s two-pulse solid rocket motor, Attitude Control Motors (ACMs), and the Lethality Enhancer, which increases the interceptor’s kill radius.
Manufacturing for the PAC-3 MSE propulsion systems is centred at Camden, Arkansas. The site features automated digital X-ray equipment and upgraded processing bays, which the company says have reduced inspection and cycle times.
In June 2026, the US government awarded Lockheed Martin a seven-year undefinitised contract action valued at up to $35bn to expand THAAD interceptor production. The Department of War has included this contract as one of the initial cases moving from a framework arrangement to full contract execution under its Acquisition Transformation Strategy.
