Taiclet said the companies signed a memorandum of understanding during the NATO summit. The agreement covers plans for the first European center of excellence for ATACMS production.
The proposed shift forms part of Lockheed Martin’s effort to expand missile output without adding another building. It would also place ATACMS manufacturing closer to much of the system’s current customer base, Taiclet said.
ATACMS and PrSM are now produced at Lockheed Martin’s Camden, Arkansas, facility. Taiclet said the two lines reflect different generations of defense manufacturing.
PrSM production occupies about one-third of the building. The line is highly automated and uses artificial intelligence to support manufacturing.
Taiclet compared the PrSM operation with a modern automotive production line. A limited number of employees manage automated equipment and robots.
ATACMS production uses about two-thirds of the Camden facility. The older line requires more workers and substantially more floor space.
“We didn’t have all these automated technologies,” Taiclet said. “We didn’t have AI to be able to control the robotics and learn from experience.”
Moving the ATACMS line would create room to expand PrSM production in Camden. Taiclet said the approach could avoid the cost and time required to construct another factory building.
“We’re basically partnering with Rheinmetall, as you heard, to move that ATACMS line into factory space in Germany,” Taiclet said. He added that Lockheed Martin could then expand the PrSM line within its existing Arkansas footprint.
Rheinmetall would provide factory space, skilled labor and investment. That would reduce the capital Lockheed Martin must commit to the production shift, according to Taiclet.
The company is under pressure to raise PrSM output faster than previously planned. Taiclet said Lockheed Martin is using available industrial capacity and international partnerships to accelerate the production ramp.
The U.S. government is also providing more flexibility on requirements, he said. Taiclet said that approach is allowing the company to pursue higher output with greater speed and efficiency.
Taiclet also reported progress on PrSM Increment 4. The missile cleared a technical gate and confirmed its extended-range performance while retaining compatibility with existing HIMARS launchers.



