The Pentagon has awarded Lockheed Martin a contract worth up to $35 billion over seven years to dramatically expand production of Terminal High Altitude Area Defense interceptors, a move that comes as President Donald Trump pushes to rebuild America’s missile stockpiles following military operations against Iran.

The Missile Defense Agency’s undefinitized contract action will allow Lockheed to quadruple THAAD interceptor production from roughly 96 missiles annually to as many as 400 per year, according to the company.

The award follows a separate $4.7 billion contract issued in April to accelerate production of Patriot Advanced Capability-3 Missile Segment Enhancement interceptors, underscoring the administration’s broader effort to strengthen America’s missile defense capabilities and defense industrial base.

Trump met Wednesday at the White House with senior military leaders and defense industry executives to press manufacturers to increase production rates, The Wall Street Journal reported.

The administration has encouraged defense companies to invest in expanding manufacturing capacity in exchange for large, multiyear procurement contracts that provide greater certainty for long-term production.

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