Lockheed Martin and Avio sign strategic agreement to expand U.S. solid rocket motor production
Lockheed Martin and Avio announced a strategic cooperation agreement on October 13, 2026 to produce solid rocket motors for the Extended Range GMLRS and Precision Strike Missile. The partnership gives Lockheed Martin priority access to Avio’s merchant supply capacity and locates production at Avio USA’s new facility in Hurt, Virginia, with output slated to start in 2029.
Why it matters
Lockheed Martin says the deal will strengthen SRM supply‑chain resiliency and increase missile‑munitions output, helping meet accelerating customer demand (source 1). Avio’s $500 million investment expands its U.S. footprint and could boost its future defense‑contract revenues (source 4).
Key facts
- 1The strategic cooperation agreement was announced on October 13, 2026. news.lockheedmartin.com
- 2Avio will invest over $500 million in new U.S. solid rocket motor production capacity. news.lockheedmartin.com
- 3Initial production will focus on solid rocket motors for the Extended Range GMLRS and the Precision Strike Missile. news.lockheedmartin.com
- 4The motors will be manufactured at Avio USA’s new facility in Hurt, Virginia. news.lockheedmartin.com
- 5Lockheed Martin will receive priority access to a share of Avio’s merchant supply capacity for those programs. news.lockheedmartin.com
- 6Production at the Virginia plant is slated to begin in 2029. marketscreener.com
Summary written by AlphAI AI Desk from 17 of 17 sources. Not investment advice. Figures are as stated by the linked sources.