Patriot PAC-3 / THAAD Components Framework Agreements
Two parallel 7-year, $3B combined framework agreements making Northrop Grumman a second supplier of PAC-3 rocket motors and expanding its THAAD structural-component manufacturing.
The U.S. Department of War signed two parallel 7-year framework agreements with Northrop Grumman worth $3 billion combined: a $2B agreement establishing Northrop as a second supplier of solid rocket motors and ignition safety devices for the Patriot PAC-3 MSE interceptor (production at Allegany Ballistics Laboratory, Rocket Center, WV, and Elkton, MD), and a $1B agreement increasing Northrop's manufacturing of THAAD structural components — interceptor shell cores, aft bulkheads, and heat shield assemblies using proprietary bonding technology — at its San Diego facility. This is distinct from Lockheed Martin's existing $35.5B, 7-year THAAD interceptor production contract (contract:lockheed-thaad-production-2026): Lockheed remains the prime integrator scaling THAAD interceptor output from 96 to ~400/year, while Northrop is a second/backup component and rocket-motor source feeding that production, not a competing prime. Likewise, L3Harris remains the incumbent sole-source PAC-3 rocket-motor producer; Northrop's June 2026 second-source qualification and this framework agreement add supply-chain redundancy rather than replacing L3Harris. Part of DOD's Acquisition Transformation strategy to use multiyear agreements to entice contractors to invest their own capital in scaling munitions production.
Award detail
- Agency
- U.S. Army
- Award ID
- Ceiling value
- $3B combined ($2B PAC-3; $1B THAAD)
- Vehicle
- Two parallel 7-year framework agreements
- Awarded
- 2026-08-03
- Period of performance ends
Programs0
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Frequently asked
- What is the Patriot PAC-3 / THAAD Components Framework Agreements contract?
- The U.S. Department of War signed two parallel 7-year framework agreements with Northrop Grumman worth $3 billion combined: a $2B agreement establishing Northrop as a second supplier of solid rocket motors and ignition safety devices for the Patriot PAC-3 MSE interceptor (production at Allegany Ballistics Laboratory, Rocket Center, WV, and Elkton, MD), and a $1B agreement increasing Northrop's manufacturing of THAAD structural components — interceptor shell cores, aft bulkheads, and heat shield assemblies using proprietary bonding technology — at its San Diego facility. This is distinct from Lockheed Martin's existing $35.5B, 7-year THAAD interceptor production contract (contract:lockheed-thaad-production-2026): Lockheed remains the prime integrator scaling THAAD interceptor output from 96 to ~400/year, while Northrop is a second/backup component and rocket-motor source feeding that production, not a competing prime. Likewise, L3Harris remains the incumbent sole-source PAC-3 rocket-motor producer; Northrop's June 2026 second-source qualification and this framework agreement add supply-chain redundancy rather than replacing L3Harris. Part of DOD's Acquisition Transformation strategy to use multiyear agreements to entice contractors to invest their own capital in scaling munitions production.
- Which agency awarded the Patriot PAC-3 / THAAD Components Framework Agreements contract?
- The Patriot PAC-3 / THAAD Components Framework Agreements contract was awarded by U.S. Army under a Two parallel 7-year framework agreements vehicle.
- How much is the Patriot PAC-3 / THAAD Components Framework Agreements contract worth?
- The Patriot PAC-3 / THAAD Components Framework Agreements contract has a value of $3B combined ($2B PAC-3; $1B THAAD), awarded on 2026-08-03.
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