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DefDex
Two THAAD launchers parked in front of a C-17 after arriving in South Korea

Program · United States

Terminal High Altitude Area Defense (THAAD)

Mobile missile-defense weapon system for terminal-phase ballistic missile interception.

Updated
Fielded

Timeline3

  1. MilestoneConfirmed

    First THAAD battery activated

    Activation is not treated as formal IOC or an operational deployment.

  2. FieldedConfirmed

    THAAD deployed to defend Guam

    Operational Guam deployment, not claimed to be the first THAAD fielding anywhere.

  3. MilestoneConfirmed

    THAAD production contract announced

    Lockheed Martin announced receipt of a $3.9 billion production contract for MDA and the UAE. This is the announcement date; the underlying award date is unspecified.

Program and variant milestones. Dates show only the precision the sources give.

Cost to the Government$9.91B total acquisition

Program totals · 3

Unit costs · 3

Quantities · 2

Operating costs · 1

Earlier observations · 9

Superseded estimates and prices, each in its original scope and dollar basis.

Program totals · 6

Unit costs · 3

1Missile Defense Programs · THAAD. Annual research, development, test and evaluation funding in the March 2024 budget presentation; FY2024 and FY2025 are request figures. Not a lifetime R&D total or actual expenditure.

2FY2024 actuals, FY2025 enacted, FY2026 request. Missile-defense-unique program support only.

3MD07 P-40. Quantity and flyaway rows refer to interceptors; other hardware and support raise the gross procurement cost. Not a complete battery price.

Budget by fiscal year
Fiscal yearAppropriationRequestEnactedQtyBudget lineSource
FY2027RDT&E$1.05B———Program Acquisition Cost by Weapon System: Fiscal Year 2027 Budget Request Office of the Under Secretary of War (Comptroller) · Apr 21, 2026
FY2027Procurement$11.44B—857—Program Acquisition Cost by Weapon System: Fiscal Year 2027 Budget Request Office of the Under Secretary of War (Comptroller) · Apr 21, 2026
FY2027Total$12.49B—857—Program Acquisition Cost by Weapon System: Fiscal Year 2027 Budget Request Office of the Under Secretary of War (Comptroller) · Apr 21, 2026
FY2026RDT&E$685M$503M——Program Acquisition Cost by Weapon System: Fiscal Year 2027 Budget Request Office of the Under Secretary of War (Comptroller) · Apr 21, 2026
FY2026Procurement$840M$823M55—Program Acquisition Cost by Weapon System: Fiscal Year 2027 Budget Request Office of the Under Secretary of War (Comptroller) · Apr 21, 2026
FY2026Total$1.52B$1.33B55—Program Acquisition Cost by Weapon System: Fiscal Year 2027 Budget Request Office of the Under Secretary of War (Comptroller) · Apr 21, 2026
FY2025RDT&E—$311M——Program Acquisition Cost by Weapon System: Fiscal Year 2026 Budget Request Office of the Under Secretary of War (Comptroller)
FY2025Procurement—$247M12—Program Acquisition Cost by Weapon System: Fiscal Year 2026 Budget Request Office of the Under Secretary of War (Comptroller)
FY2025Total—$558M12—Program Acquisition Cost by Weapon System: Fiscal Year 2026 Budget Request Office of the Under Secretary of War (Comptroller)

Count batteries and interceptors independently

MDA reports the battery support scope separately from purchased interceptors. Its THAAD operations line covers missile-defense-unique items; Army common items and radar support require additional budgets. Dividing that line by eight would not produce full annual battery ownership cost.

Contracts & purchasing · 2

Ceilings, options and purchase agreements are not spending and are never added together. Obligations are under Contracts.

Contracts and purchasing
Buyer → sellerStatusValueQtySource
U.S. government → Lockheed MartinSeven-year interceptor production UCA, up to $35B. Not a definitized unit price or money already spent.Maximum undefinitized contract value$35B—THAAD seven-year undefinitized production award, up to $35B Lockheed Martin · figure Jun 24, 2026
Missile Defense Agency → Lockheed MartinFive-year development contract with two extension options, up to ten years. Ceiling includes options and is not the lifetime program R&D total.Development IDIQ ceiling$2.8B—THAAD development IDIQ, $2.8B ceiling including options Lockheed Martin · figure Feb 6, 2025

Open research: Current U.S. inventory and complete annual operating-and-support costs require additional public evidence. Buyer records are selected examples, not a complete global order book. The displayed R&D reference is annual funding or a specified multi-year request window, not a verified lifetime total. Additional primary-source international purchase and delivery records remain to be reviewed.

What the government budgets and pays for this program, from budget justification books, appropriations, acquisition reports and contract announcements. Each figure states its dollar basis. What contractors were obligated is under Contracts.

Contracts$1.48B obligated since FY2008

Contractors6

  1. Lockheed Martin$1.45B 98%
  2. BAE Systems$21.2M 1.4%
  3. Teledyne Technologies$1.8M 0.1%
  4. ADS$415K 0.0%
  5. Oshkosh Corporation$32K 0.0%

Awards25

Obligations are signed USAspending prime-contract actions coded to this program, FY2008 to date, credited to the company that received each action. Obligations are money committed, not company revenue.