The U.S. Department of Defense, referred to by the Trump administration as the U.S. Department of War, announced on Wednesday that it reached a framework agreement with BAE Systems and Lockheed Martin to quadruple production of seeker components for the Terminal High Altitude Area Defense interceptor, including seeker systems, as demand for missile defense grows.
Officials said the deal is intended to strengthen the interceptor’s supply chain and support broader efforts to expand U.S. defense-industrial capacity. The agreement follows a recent initiative with Lockheed Martin aimed at increasing overall THAAD interceptor output.
Michael Duffey, undersecretary of war for acquisition and sustainment, said securing critical suppliers is “just as important” as maintaining partnerships with prime contractors, adding that long-term demand commitments are designed to give industry the confidence to invest, expand facilities and hire additional workers.
The department said the arrangement will enable new manufacturing investments to accelerate production of missile-defense systems and ensure the timely delivery of key components needed to counter emerging threats.
“By locking in this critical component, the Department of War is ensuring that the nation’s capacity to build and deploy this vital defensive weapon will outpace any adversary’s threat to the United States or its allies,” the department said. “This is the Arsenal of Freedom in action, built to ensure peace through undeniable strength.”