Department of War Strikes Landmark Deal to Triple PAC‑3 Seeker Production, Strengthening the Arsenal of Freedom

April 1, 2026 - Huntsville, Ala. - In a sweeping move to accelerate U.S. air and missile defense capabilities, the Department of War announced a landmark seven‑year framework agreement with Boeing and Lockheed Martin to triple production of seekers for the Patriot Advanced Capability‑3 Missile Segment Enhancement (PAC‑3® MSE). The initiative represents one of the most significant industrial base expansions in recent years and is a cornerstone of President Trump and Secretary Hegseth's broader effort to build the nation's "Arsenal of Freedom."

The agreement directly supports the Department's recently announced plan with Lockheed Martin-the PAC‑3 MSE prime contractor-to more than triple production of the all‑up round. By engaging not only the prime contractor but also key suppliers such as Boeing, the Department is applying its new Acquisition Transformation Strategy, which emphasizes direct partnerships across every tier of the defense industrial base.

A New Model for Industrial Mobilization

Under the new strategy, the Department of War is shifting away from traditional, prime‑centric acquisition models. Instead, it is working directly with critical suppliers to ensure long‑term stability, predictable demand, and the confidence needed to invest in new facilities, tooling, and workforce expansion.

"The entire supply chain-not just the primes-must be ready to surge," said Michael Duffey, Under Secretary of War for Acquisition and Sustainment. "To build a true Arsenal of Freedom, we must strengthen every link in the chain. This agreement with Boeing reflects our commitment to speed, volume, and a resilient industrial base capable of delivering decisive capabilities at scale."

The PAC‑3 seeker, produced by Boeing, is the missile's precision‑guidance heart. It provides the active measurement data required for the PAC‑3 MSE to identify, track, and intercept advanced threats, including ballistic missiles, cruise missiles, hypersonic weapons, and hostile aircraft. By securing a long‑term production commitment, the Department is eliminating a major chokepoint in the missile's supply chain.

Boeing's Expanding Role in the Arsenal of Freedom

Boeing has already invested more than $200 million since 2024 to expand its PAC‑3 seeker production capacity in Huntsville, including a new 35,000‑square‑foot facility. The new framework agreement paves the way for additional, cash‑neutral investments across the production value stream, ensuring the company can meet rapidly growing domestic and international demand.

"Across the nation and around the world, we're making significant investments in people and facilities to meet evolving security needs," said Steve Parker, president and CEO of Boeing Defense, Space & Security. "The Acquisition Transformation Strategy empowers industry to accelerate delivery of complex systems at scale. With this framework, we'll deliver more advanced seekers and strengthen our military's advantage."

Boeing's contributions to the Arsenal of Freedom focus on three pillars:

Modernizing Manufacturing

- More than $200 million invested since 2024

- Major facility expansion in Huntsville

- Upgraded tooling and advanced production technologies

Workforce Development

- Rapid growth of a highly skilled, high‑wage workforce

- New training pipelines and community partnerships

- Increased capacity for specialized engineering and manufacturing roles

Strengthening the Supply Chain

- Cash‑neutral investments across the value stream

- Prioritization of domestic suppliers

- A Made‑in‑America approach to ensure resilience and security

Bob Ciesla, vice president of Boeing Precision Engagement Systems, emphasized the momentum already underway. "In 2025, we increased deliveries by over 30%. This agreement allows us to scale rapidly and triple production. We're excited to grow our workforce and expand our presence in Huntsville."

A Wartime Footing for U.S. Acquisition

The Department of War has repeatedly signaled its intent to place the acquisition system on a "wartime footing," prioritizing speed, flexibility, and industrial mobilization to outpace adversaries. The PAC‑3 seeker expansion is one of the clearest examples yet of that shift.

By providing long‑term demand signals and forging direct partnerships with suppliers, the Department aims to ensure that both the final products and the intricate supply networks behind them are robust, responsive, and ready for sustained high‑volume production.

Under the new framework, Boeing, the Department of War, and Lockheed Martin will immediately begin ramping up production while negotiating toward a multi‑year contract award later this year.

A Strategic Investment in U.S. and Allied Defense

The PAC‑3 MSE is widely regarded as the world's most advanced air and missile defense interceptor. Its seekers-now set for a dramatic production surge-enable U.S. and allied forces to defeat some of the most sophisticated threats on the modern battlefield.

As global demand for integrated air and missile defense continues to rise, the Department's agreement with Boeing ensures the United States can maintain its technological edge while strengthening the industrial base that underpins national security.

With this deal, the Arsenal of Freedom takes another major step forward-one built not only on advanced technology, but on the factories, workers, and supply chains that make American defense capabilities possible.