L3Harris Wins $6 Billion THAAD Propulsion Contract

L3Harris Secures $6 Billion THAAD Propulsion Contract, Quadruples Capacity

L3Harris Technologies received an undefinitized contract from Lockheed Martin valued at more than $6 billion to expand production for the Terminal High Altitude Area Defense system.

The Markets Desk

Gokhshtein Media

September 29, 2026

3 min read

NEW YORK — L3Harris Technologies (NYSE: LHX) secured a contract exceeding $6 billion, excluding escalations, from Lockheed Martin. This seven-year agreement focuses on substantially increasing propulsion production for the Terminal High Altitude Area Defense (THAAD) system.

The contract follows a framework agreement L3Harris reached earlier this year with the Department of Defense. That prior agreement outlined plans to quadruple THAAD propulsion output.

Ken Bedingfield, president of Missile Solutions at L3Harris, emphasized the company's capability to deliver defense technologies quickly. Bedingfield said this contract shows L3Harris's ability to meet the scale and speed requirements of the Department of Defense.

L3Harris plans to construct a new facility specifically for manufacturing THAAD Solid Rocket Boost Motors. The company is also expanding its existing capacity for THAAD’s Liquid Divert and Attitude Control production.

Bedingfield highlighted the partnership with Lockheed Martin, saying it will scale production of these vital interceptors. He said this provides warfighters with proven capabilities to counter various threats.

This award, along with a recently announced PAC-3 MSE propulsion contract, aligns with L3Harris’s previously stated expectations for both programs. The company continues investments across its propulsion portfolio.

THAAD stands as one of the nation’s most advanced missile defense systems. It can intercept threats both inside and outside Earth’s atmosphere.

Since its production began, THAAD has achieved a 100 percent intercept success rate in flight tests. The system provides defense against short-, medium- and intermediate-range ballistic missile threats.

L3Harris describes itself as a trusted provider of defense technology. The company delivers end-to-end solutions across space, air, land, sea and cyber domains for national security missions.

Investors should note the company's forward-looking statements include risks and uncertainties. These include the potential for actual results to differ materially and the continued funding up to the full contract value.

The contract follows a framework agreement L3Harris reached earlier this year with the Department of Defense. That prior agreement outlined plans to quadruple THAAD propulsion output.

THAAD stands as one of the nation’s most advanced missile defense systems. It can intercept threats both inside and outside Earth’s atmosphere.

L3Harris describes itself as a trusted provider of defense technology. The company delivers end-to-end solutions across space, air, land, sea and cyber domains for national security missions.