The Pentagon has announced new deals with major defense contractors to boost the production of defense systems munitions and replenish weapons stockpiles amid the ongoing war with Iran.
In a series of statements, the Pentagon revealed a framework agreement with BAE Systems and Lockheed Martin to increase the production of seekers for the Terminal High Altitude Area Defense (THAAD) interceptor fourfold.
The Pentagon also announced a new framework agreement with Lockheed Martin to accelerate the production of the Precision Strike Missile (PrSM), putting the defense industrial base on a “wartime footing.”
Furthermore, a $500 million multi-year investment will see Honeywell Aerospace surging production of critical components for America’s munitions stockpile, including navigation systems, Honeywell Assure™ actuators, and electronic warfare solutions.
The ongoing war with Iran has raised concerns over the US interceptor stockpile. According to US media reports, the Pentagon is currently deploying THAAD, Patriot, and Standard Missile interceptors at a rate far exceeding their replacement capacity.
Moreover, the US used more than 150 THAAD interceptors, nearly quarter of US inventory, during the 12-day war between Iran and Israel in June 2025.
The US has also deployed billions-worth weapons from its stockpiles since 2022 to support Ukraine, and during Israel’s military operations in Gaza, including artillery systems, ammunition and anti-tank missiles, according to Reuters.
Earlier this month, US President Donald Trump met with executives from seven defense contractors in a bid to replenish stocks drawn down in the current war with Iran and other recent military operations.
These companies included Lockheed Martin, Raytheon parent RTX, BAE Systems, Boeing, Honeywell Aerospace, L3Harris and Northrop Grumman.
“We just concluded a very good meeting with the largest US Defense Manufacturing Companies where we discussed Production and Production Schedules,” Trump posted on Truth Social after the meeting.
