Lockheed Martin secures US$4.7 billion Patriot missile interceptor production contract

A Lockheed Martin F-35 Joint Strike Fighter is shown in this undated Lockheed Martin photo.

Lockheed Martin said on Friday the U.S. government awarded the defence giant a US$4.7 billion preliminary contract to continue critical accelerated production of the Patriot interceptor missile.

The contract for the Patriot Advanced Capability-3 Missile Segment Enhancement (PAC-3 MSE) follows a seven-year agreement with the U.S. Department of Defense to more than triple its annual production, as countries respond to heightened geopolitical tensions.

Trump has ordered the department to rename itself the Department of War, a change that will require action by Congress.

PAC-3 MSE is used in U.S. Army’s primary high-to-medium range interceptor system and forms the backbone of U.S. and allied air defenses.

Supplies of the PAC‑3 MSE, which Ukraine relies on to defend its energy and military infrastructure from ballistic missiles, are strained after heavy use in the Gulf against Iranian strikes, with the production boost unlikely to ease shortages this year.

Earlier this year, the U.S. State Department approved the potential sale of the PAC-3 MSE and related equipment to Saudi Arabia for an estimated cost of $9 billion.

(Reporting by Aatreyee Dasgupta in Bengaluru; Editing by Vijay Kishore)