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PAC-3 MSE Multiyear Production Contract

$58.62B multiyear (FY2026-2032) contract to triple PAC-3 MSE interceptor production capacity by 2030, the largest Patriot missile contract to date.

The Department of War awarded Lockheed Martin a seven-year undefinitized contract action (UCA) modification of up to $53.86B for PAC-3 Missile Segment Enhancement (MSE) interceptors, which — added to the $4.7B UCA already awarded in April 2026 for year one — brings the total multiyear contract value to $58.62B, the largest Patriot missile contract ever. The deal formalizes a multiyear procurement plan (FY2026-2032) that triples PAC-3 MSE production capacity by the end of 2030 and grows the Camden, Arkansas workforce from 1,200 to approximately 1,850. Lockheed Martin is investing $8-9B through 2030 to modernize more than 20 U.S. facilities to scale munitions output, part of a broader industry response to munitions shortages from the U.S.-Israeli war with Iran.

Award detail

Agency
U.S. Department of War
Award ID
Ceiling value
$58.62B
Vehicle
Undefinitized Contract Action (UCA) modification, multiyear procurement (FY2026-2032)
Awarded
2026-07-29
Period of performance ends

Recipient1

Programs0

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Frequently asked

What is the PAC-3 MSE Multiyear Production Contract contract?
The Department of War awarded Lockheed Martin a seven-year undefinitized contract action (UCA) modification of up to $53.86B for PAC-3 Missile Segment Enhancement (MSE) interceptors, which — added to the $4.7B UCA already awarded in April 2026 for year one — brings the total multiyear contract value to $58.62B, the largest Patriot missile contract ever. The deal formalizes a multiyear procurement plan (FY2026-2032) that triples PAC-3 MSE production capacity by the end of 2030 and grows the Camden, Arkansas workforce from 1,200 to approximately 1,850. Lockheed Martin is investing $8-9B through 2030 to modernize more than 20 U.S. facilities to scale munitions output, part of a broader industry response to munitions shortages from the U.S.-Israeli war with Iran.
Which agency awarded the PAC-3 MSE Multiyear Production Contract contract?
The PAC-3 MSE Multiyear Production Contract contract was awarded by U.S. Department of War under a Undefinitized Contract Action (UCA) modification, multiyear procurement (FY2026-2032) vehicle.
How much is the PAC-3 MSE Multiyear Production Contract contract worth?
The PAC-3 MSE Multiyear Production Contract contract has a value of $58.62B, awarded on 2026-07-29.

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Sources & citations3

Each claim links to its underlying source. Confidence reflects how directly the source supports the claim.

  1. 1

    Department of War awards Lockheed Martin $58.62B for multiyear PAC-3 MSE production; $53.86B UCA modification added to the existing $4.7B FY26 UCA; triples production by 2030; Camden, AR workforce to grow from 1,200 to 1,850

    Lockheed Martin (Official): Department of War Awards Lockheed Martin $58.62B for Multiyear PAC-3 MSE Production to Strengthen the Arsenal of Freedom
    Verified2026-07-29
  2. 2

    Secondary confirmation: $58.62B multiyear deal to produce PAC-3 MSE interceptors, tripling production capacity by 2030

    Defense News: The arms race for cheaper anti-ballistic weapons is underway
    Verified2026-07-30
  3. 3

    $53.86B contract modification for PAC-3 MSE interceptors; Camden, AR workforce to grow from 1,200 to 1,850

    Defence Blog: Lockheed lands mega deal to triple missile interceptor production
    Verified2026-07-30