US seeks 32% boost for missile defence budget with $23 billion earmarked for interceptors
The SM-3 Block IIA missile is the product of a co-development agreement between the US and Japan.(Photo: US Navy)
The Pentagon’s proposed budget for the next fiscal year includes an impressive increase in the procurement of interceptors, with the number of the US Army’s PAC-3 MSE rounds expanding by 683%, the US Navy’s Standard Missile by 365% and the MDA’s SM-3 IIA by more than 1,000%.
The US administration has requested US$52.8 billion to cover missile defence-related acquisitions and research and development programmes in FY2027. This represents a 32% increase compared to the amount Washington requested for the current fiscal year, at around $40 billion.
The boost will enable the Pentagon to advance the Golden Dome for America initiative and considerably expand the procurement of counter-missile rounds such as Patriot Advanced Capability-3 Missile Segment Enhancement (PAC-3 MSE) and Standard Missiles (SM).
For the US Army, the purchase of MSE rounds grew from $1.7 billion for 357 units in FY2026 to $12 billion for 2,798 missiles. This
Our news & analysis is now part of Defence Insight®
A Basic-level or higher Defence Insight subscription is now required to view this content.
More from Defence Notes
-
![Industrial capacity under scrutiny as US approves further $8.6 billion Middle East arms sale]()
Industrial capacity under scrutiny as US approves further $8.6 billion Middle East arms sale
The fast-tracked emergency approvals come as the conflict in the Middle East stretches out into its third month, after Iranian attacks depleted US allies’ missile stockpiles and testing air defence systems.
-
![Intelligence innovation: From data overload to decision advantage (Podcast)]()
Intelligence innovation: From data overload to decision advantage (Podcast)
As militaries face an overwhelming flow of data, the challenge is shifting from collection to delivering fast, actionable insights that drive decision-making. Advances in AI and data integration are helping armed forces move beyond siloed systems to generate real-time intelligence across domains and allies.
-
![SAHA 2026 to Convene the Global Defence Ecosystem]()
SAHA 2026 to Convene the Global Defence Ecosystem
SAHA 2026 brings global defence and aerospace leaders to Istanbul for partnerships, launches, panels and high-value meetings.
-
![Teledyne FLIR adds GPS-denied 3D-mapping capabilities to its CBRN uncrewed platforms]()
Teledyne FLIR adds GPS-denied 3D-mapping capabilities to its CBRN uncrewed platforms
In a partnership with Emesent, Teledyne FLIR will equip its autonomous air, ground and detection systems with the Hovermap LiDAR payload in a move that highlights a broader market shift towards modular architectures, shared payloads and interoperability across platforms.
-
![US Army partners with Global Military Products to surge munitions production]()
US Army partners with Global Military Products to surge munitions production
Global Military Products was selected by the US Army to operate the Quad Cities Cartridge Case Facility and ramp up the production of various calibre shell cases.
-
![Growing a digital backbone: an essential capability for the multi-domain battlespace]()
Growing a digital backbone: an essential capability for the multi-domain battlespace
Future operational superiority will be defined by the ability to connect systems, data and personnel into a wider network. For armed forces, this creates the need for a digital backbone that integrates and enhances sensors and effectors of all kinds.
