AUSA 2025: Boeing wins $2.7 billion PAC-3 production contract as it explores supply chain expansion
The PAC-3 MSE interceptor launched during testing. (Photo: Boeing)
Boeing will work with prime contractor Lockheed Martin to boost PAC-3 production capacity to hit higher delivery targets, as demand for the interceptors continues to surge.
Boeing has been awarded a US$2.7 billion production contract for Patriot Advanced Capability (PAC-3) seekers. The contract will see up to 3,000 seekers produced and delivered at a rate of around 750 units per year until 2030, according to Boeing.
The demand for PAC-3 missile system has shown a marked increase in recent years both in the US and Europe due to greater geopolitical threats across Ukraine, the Middle East and Indo-Pacific.
In September 2025, the US Army contracted Lockheed Martin with a $9.8 billion contract to produce up to 1,970 PAC-3 Missile Segment Enhancement (MSE) interceptors and hardware. More Patriot
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