THAAD

The Terminal High Altitude Area Defense (THAAD) program, managed by the Missile Defense Agency (MDA), is a key element of the U.S. missile defense architecture aimed at intercepting and destroying ballistic missile threats during their late midcourse and terminal flight phases. The FY 2026 budget request for THAAD Procurement focuses on acquiring THAAD interceptors, which will be integrated with previous production lots to optimize contract efficiency and cost savings.

The THAAD Interceptor Procurement is the central focus of the FY 2026 request. Of the 37 interceptors, some are funded by discretionary appropriations and others by mandatory reconciliation funds. These interceptors are scheduled for production in Lot 18 and will be synergized with Lots 16 and 17 from previous fiscal years under a single contract award. This approach is designed to maximize procurement efficiency and achieve a lower average unit cost by leveraging economies of scale and minimizing supplier production gaps.

The Obsolescence Mitigation and Modifications component addresses the need to update and sustain critical THAAD system elements. The FY 2026 increase in funding supports essential upgrades to both interceptor components and ground-based battery systems. Specific mitigation efforts include replacing legacy parts such as the seeker, mission computer, thrust vector actuator, and boost motor, as well as implementing new systems like the Laser Initiated Ordnance System and Passive Leak Indicator.

These actions are necessary to prevent production interruptions and ensure continued reliability and supportability of the THAAD system, particularly as legacy components become unavailable.

The THAAD Battery Ground Component Modifications are targeted at maintaining a common baseline (Configuration 3) across all deployed batteries. This includes addressing obsolescence, enhancing supportability, and mitigating cyber threats to the weapon system. By standardizing the configuration, the program aims to improve operational readiness, simplify maintenance, and ensure compatibility with evolving defense requirements.

The Stockpile Reliability Program (SRP) is another critical objective within the FY 2026 budget request. SRP activities encompass production support, field testing, storage and aging analysis, and reliability assessments for THAAD interceptors. The goal is to provide comprehensive reliability data that supports warfighter confidence and enables the extension of interceptor shelf and service life, thereby reducing long-term costs and sustaining operational effectiveness.

Additional line items within the THAAD procurement request include support equipment such as missile round pallet transportables, active leak sensor systems, and battery support centers. These items are essential for the deployment, operation, and sustainment of THAAD batteries. The procurement also covers training, production support, and testing activities necessary to maintain system performance and readiness.