Northrop Grumman secures $3 billion in missile defence deals

Northrop Grumman has signed two multi-year framework agreements totaling over USD 3 billion. Working alongside the US Department of War and Lockheed Martin, the company is increasing production and accelerating delivery of critical munitions technologies and reinforcing the nation’s integrated air and missile defense, Northrop Grumman said.

Northrop Grumman will accelerate production of the Patriot Advanced Capability-3 Missile Segment Enhancement (PAC-3 MSE) to meet the increasing global demand. Under the USD 2 billion framework agreement, the company will supply essential components, including solid rocket motors and ignition safety devices, supporting the nation’s integrated air and missile defense.

The USD 1 billion framework agreement will enable Northrop Grumman to significantly increase monthly deliveries of THAAD components over seven years, the company said. 

Northrop Grumman is scaling design and production capabilities to deliver new rocket motors that travel farther and faster. As a result of investments made since 2021, the company is doubling the capacity to deliver solid rocket motors at its Utah facilities, nearly tripling the capacity at the Allegany Ballistics Lab in West Virginia and increasing solid rocket motor capacity by 25% at its Elkton, Maryland facility, the company said.

“Our long-term investments in breakthrough manufacturing technologies and resilient supply chains let us pivot from steady production to a production surge in record time,” said Ben Davies, corporate vice president, Northrop Grumman. “As one of America’s leading producers of solid rocket motors, we’re supporting the administration’s push to accelerate munitions output. It’s a mission-critical leap forward that ensures America’s defense edge stays sharper, faster, and farther ahead of global threats.”

Over the course of the seven-year framework agreement, Northrop Grumman will significantly increase PAC-3 MSE SRM production rates at the Allegany Ballistics Laboratory (ABL) facility in Rocket Center, West Virginia.  

“Building the Arsenal of Freedom requires robust, dynamic supply chains at every level of the industrial base,” said Michael P. Duffey, Under Secretary of War for Acquisition and Sustainment, according to a media release issued by the US Department of War. “Framework agreements with munition components suppliers like Northrop Grumman are vital to accelerating the tripling of PAC-3 and quadrupling of THAAD interceptor production.”