Lockheed Martin is developing low-cost Patriot missile interceptors to defend against cruise and ballistic missiles and cheap drones that have caused havoc on battlefields in Europe and the Middle East.
The U.S. defense contractor unveiled the Patriot PAC-3 Adapted Capability Effector (ACE) on Monday at Britain’s Farnborough International Airshow near London.
Lockheed Martin said the new interceptor is designed to defeat a wide range of threats for less than half the cost of a PAC-3 Missile System Engagement (MSE), which cost about $4 million per missile.
“American and allied warfighters need a solution that is battle-tested and budget-smart, and PAC-3 ACE delivers exactly that by building on the unrivaled performance of the PAC-3 MSE,” Tim Cahill, president of Lockheed Martin Missiles and Fire Control, said in a statement.
Developing and producing the interceptor with European partners will create a shared, interoperable system that strengthens NATO’s transatlantic defense posture, company officials said.
“As we look to partner with our allies, we can further enhance resilience and ensure our forces can swiftly counter emerging threats today and tomorrow,” Mr. Cahill said.
Ukrainian President Volodomyr Zelenskyy has requested more Patriot interceptors and the right for Kyiv to manufacture them domestically. He said Moscow is betting everything on ballistic missiles and long-range drones as it strikes targets throughout Ukraine, including energy and logistics infrastructure.
“It is because of them that [Russian President Vladimir] Putin still believes in his war. It is very important that our partners understand what is happening,” Mr. Zelenskyy posted last week on X. “Air defense missiles are needed to protect lives literally every single day. It is important to accelerate everything — both with o ur European partners and with the United States.”
Russia on Thursday launched a barrage of more than 40 ballistic missiles and 120 attack drones. Mr. Zelenskyy said at least one person was killed and more than a dozen were injured in the attack. He said the Kremlin had been preparing for the bombardment for several days by stockpiling ordnance.
“Protection against ballistic missiles is our constant and top priority right now. Interceptors are needed every day. I am grateful to everyone who takes our agreements seriously and ensures the delivery of anti-ballistic capabilities,” Mr. Zelenskyy said. “These packages are literally saving lives during every massive Russian attack. Delays in adopting new decisions allow Moscow to plan not only new attacks against our people, but also ways to circumvent new sanctions.”
The Patriot system is considered the only weapon in Ukraine’s arsenal capable of reliably tracking and destroying advanced, fast-moving Russian ballistic missiles, officials said.
The new interceptor will use the combat-tested fire control system and is fully linked to the Integrated Battle Command System, the U.S. Army’s flagship command and control network, officials said.
The estimated production costs for a basic Iranian Shahed-136 drone are $20,000 to $50,000 per unit. That cost difference with a $4 million Patriot missile is why the Army hosted a Low-Cost Interceptor Industry Day last month.
“Modern threats like drones, cruise missiles, and short-range ballistic missiles require new solutions. The Army’s Low-Cost Interceptor initiative focuses on affordable, modular, and effective air and missile defense systems,” Army officials said.

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