BREAKING: L3Harris wins $6B+ THAAD propulsion contract from Lockheed Martin

L3Harris Technologies has received an undefinitized contract from Lockheed Martin valued at more than $6 billion, excluding escalations, over seven years to significantly expand propulsion production for the Terminal High Altitude Area Defense (THAAD) system, the company announced today.

L3Harris (NYSE: LHX) supplies THAAD’s Solid Rocket Boost Motors (SRBM) and its Liquid Divert and Attitude Control System (DACS). Under the award, the company will build a new facility for THAAD SRBM manufacturing and expand capacity for liquid DACS production. Lockheed Martin is the THAAD prime contractor.

The award follows a framework agreement that L3Harris and the Department of War announced earlier this year to quadruple THAAD propulsion production. Breaking Defense noted that the July framework also covered solid rocket motors for Patriot PAC-3 missiles. L3Harris said this contract, together with the recently released PAC-3 MSE propulsion contract, is consistent with its previously announced expectations for both programs. The company did not disclose production quantities.

“This contract underscores L3Harris’ demonstrated ability to quickly deliver critical defense technologies at the scale and speed required by the Department of War,” said Ken Bedingfield, president of L3Harris Missile Solutions.

As an undefinitized contract action, the deal lets work start while final terms are still being negotiated. L3Harris’ release also notes that the full value depends on continued funding.

Why it matters: THAAD intercepts short-, medium- and intermediate-range ballistic missiles both inside and outside the atmosphere, and interceptor supply has become a pressure point as U.S. stockpiles are drawn down. Solid rocket motors have been one of the tightest bottlenecks in the munitions industrial base. A seven-year propulsion commitment and new plant capacity are the kind of long-term signal suppliers need before they add production lines. That matters for any layered missile defense architecture, Golden Dome included, and for the Huntsville-area missile defense community that supports THAAD.

Sources

L3Harris — L3Harris Receives THAAD Propulsion Contract Valued at $6 Billion — Sept. 29, 2026
Breaking Defense, Michael Marrow — Raytheon nets potential $20.7 billion AMRAAM deal — Sept. 29, 2026