Lockheed Martin broke ground on a new $8–9 billion expansion of its munitions production facilities in Troy, Alabama, and Camden, Arkansas, aiming to double Terminal High Altitude Area Defense (THAAD) interceptor output and triple PAC-3 Missile Segment Enhancement (MSE) production. The expansions are part of a broader $2 billion investment to modernize plants, automate assembly lines, and train a larger workforce.
The company secured long-term procurement agreements with the Department of War that guarantee future demand, allowing it to scale production rapidly. Dan Nimblett, Lockheed Martin’s vice president for Munitions Acceleration Integration, said the new facilities and advanced manufacturing techniques will multiply current production rates by two to four times. The Camden site, which employs 1,100 workers, is also expanding to support the Precision Strike Missile (PrSM), which is set to quadruple production over the next few years.
Automation and robotics are central to the ramp-up, with robotic arms handling explosive integration, painting, and coating at the Camden plant. Lockheed Martin is also introducing the PAC-3 Adapted Capability Effector (ACE), a lower-cost interceptor designed to engage a broad range of threats while reducing unit costs by over half compared to MSE. The company is partnering with General Motors and other industry leaders to integrate commercial manufacturing expertise into its defense production processes.
