Lockheed and Raytheon Not Thrilled With Idea to Produce Patriot Missiles in Ukraine

U.S. President Donald Trump has put forward an unexpected proposal to localize the production of missiles for the Patriot air defense system in Ukraine, a move that places major American defense corporations in an extremely difficult position.

Photo: commons.wikimedia.org by Sgt. Erica Earl, https://creativecommons.org/public-domain/pdm/

190603-A-OQ915-0030 - Exercise Astral Knight 19 kicks off in Slovenia

Trump Announces Patriot Missile Production Proposal for Ukraine

Speaking at the NATO summit in Ankara, Trump said the United States would allow Ukraine to manufacture missiles for the Patriot air defense system.

"Then you won't be able to complain that we're not giving you enough—make them yourselves," Trump said during his meeting with Ukrainian President Volodymyr Zelensky.

The U.S. president acknowledged that he had not yet discussed the proposal with the manufacturers, Lockheed Martin and Raytheon, but expressed confidence, in his characteristic style, that "they will be delighted."

That enthusiasm, however, is far from guaranteed. Experts believe the two companies are likely to respond to Trump's initiative with strict conditions and considerable private skepticism.

Technology, Security and Production Challenges

First, the companies are unlikely to transfer their technologies free of charge. Ukraine—or the European funds financing the project—would be required to pay substantial licensing fees for every missile produced, whether as a percentage of its value or as a fixed royalty.

Second, establishing a full-cycle production facility in Ukraine is viewed as impossible under wartime conditions. The companies are expected to point out that simply demonstrating the manufacturing process would not be sufficient. American engineers would have to be deployed directly into a combat zone to set up production lines, a step that senior corporate management has consistently opposed.

If production were localized at all, it would most likely be limited to final assembly, with major components supplied from factories in the United States. Even then, Lockheed Martin and Raytheon already face extensive production commitments and long order backlogs from customers in the Gulf region and Europe.

The companies are also expected to argue that any joint production program would make more sense if established in Western Europe.

Third, they are expected to reject any responsibility for potential industrial espionage benefiting Russia, warning that such risks could inflict irreversible damage on U.S. national security and undermine the commercial leadership of both corporations. Any technology transfer would therefore require strict oversight by the Pentagon.

Fourth, the companies would likely demand government guarantees fully indemnifying Lockheed Martin and Raytheon against liability arising from technological failures, industrial accidents, or reputational damage affecting their share prices.

Lengthy Approval Process Could Delay Any Project

Even if every obstacle were overcome, deploying Patriot missile production in Ukraine would take between two and five years.

U.S. arms export regulations require hundreds of approvals from Congress, the State Department, and the Pentagon before individual patents can be transferred.

Although Trump could attempt to accelerate the process, the legal procedures alone would still require between six and twelve months before any manufacturing equipment could even begin arriving.

The proposal is ultimately presented as a populist gesture directed at Europe, which sought this type of partnership but is unlikely to receive it after failing to support the United States over Iran and Greenland, while Brussels has now responded firmly to Trump's economic threats directed at Madrid.