Boeing, Lockheed Martin to turbocharge Patriot seeker production in Huntsville

Boeing’s Huntsville facility will triple production of its PAC-3 missile seekers following an agreement on a seven-year deal with the Pentagon. 

Under the agreement, Boeing, the Department of War and PAC-3 Missile Segment Enhancement prime contractor Lockheed Martin will immediately begin production ramp-up and negotiate toward a multi-year contract award later this year.

“This agreement paves the way for us to scale rapidly to deliver increasingly sophisticated seekers,” said Bob Ciesla, vice president, Boeing Precision Engagement Systems. “In 2025, we increased deliveries by over 30% and we’re excited for the opportunity to grow our highly skilled workforce and our presence in Huntsville as we now triple production.”

The deal is to meet global demand for air and missile defense to protect service members, civilians and critical infrastructure. 

Boeing-built seekers enable PAC-3 interceptors to identify, track and defeat advanced threats ranging from hostile aircraft and hypersonics to ballistic and cruise missiles. 

Lockheed Martin said the partnership will increase annual capacity from approximately 600 to 2,000 in a seven-year agreement, giving U.S. forces, allies and partner nations the speed, precision and volume they need to defend against evolving threats. 

Boeing has invested more than $200 million since 2024 to expand PAC-3 seeker production capacity in Huntsville, including a 35,000-square-foot facility expansion. The company said the framework paves the way for additional, cash-neutral Boeing investments throughout the production value stream, providing certainty to meet growing demand.

“Across the nation and around the world, we’re making significant investments in people and facilities to meet the evolving security needs of the United States and its allies,” said Steve Parker, president and CEO of Boeing Defense, Space & Security. “The administration’s Acquisition Transformation Strategy empowers industry to invest and accelerate the delivery of complex systems at scale and strengthen the Department’s Arsenal of Freedom. 

“With this framework, we’ll be able to produce and deliver more advanced seekers and enhance our military’s advantage.”

According to Boeing, its investments are focused on:

• Modernizing manufacturing: The company has invested more than $200 million since 2024 to upgrade and expand its Huntsville footprint, including a new 35,000 square-foot facility.
• Workforce development: This agreement allows Boeing to rapidly grow its highly skilled workforce, creating high-paying, specialized jobs and fostering innovation through local community partnerships.
• Strengthening the supply chain: This framework paves the way for additional, cash-neutral Boeing investments throughout the production value stream. The company is committed to a “Made in America” approach, prioritizing partnerships with domestic suppliers, creating a more secure and resilient industrial base and providing certainty to meet growing demand.

“To build a true Arsenal of Freedom, we must strengthen every link in the chain,” said Michael Duffey, Under Secretary of War for Acquisition and Sustainment. “This agreement with Boeing is a direct reflection that speed, volume, and a resilient supply chain are paramount. 

“We are moving beyond the old model and forging direct partnerships with critical suppliers to ensure the entire defense industrial base is postured to expand production and deliver the decisive capabilities our warfighters need at speed and scale.”

Wednesday’s agreement supports a Pentagon agreement announced in January with Lockheed Martin to more than triple the output of the PAC-3 MSE all-up round. It is a direct application of the department’s new Acquisition Transformation Strategy, which prioritizes engaging directly with key suppliers at all levels of the industrial base. 

Lockheed Martin said it is well-positioned to fulfill this agreement, having recently increased PAC-3 MSE production by more than 60% over the past two years.

In 2025, Lockheed Martin delivered more than 600 PAC-3 MSEs, a 20% increase from the previous year.

“We appreciate the Department of War’s leadership in advancing acquisition reform,” said Lockheed Martin Chairman, President and CEO Jim Taiclet. “This first-of-its-kind approach builds on years of advocacy and collaboration to bring commercial practices to major acquisition programs. 

“We will create unprecedented capacity for PAC-3 MSE production, delivering at the speed our nation and allies demand while providing value for taxpayers and our shareholders.”