Barra projected $700 million in GM defense revenue this year

General Motors has begun supplying missile-housing components for Lockheed Martin’s Patriot PAC-3 MSE interceptors, Lockheed Martin announced Thursday.

Lockheed said GM delivered an initial batch of the components in August, in three weeks rather than the typical several months. Lockheed did not disclose the order’s size or the scope of future work.

The Pentagon in January ordered Lockheed to more than triple its Patriot output to more than 2,000 missiles a year by the end of 2030. The effort has taxed the company’s supply chain, which covers a network of capacity-constrained subcontractors that are hard-pressed to surge their own output on short notice.

The most advanced Patriot missile costs more than $4 million apiece and takes more than two years to reach its military customers. Many key parts are largely handmade and come from single-source suppliers, including Boeing, which makes the missile’s advanced seeker.

Pentagon officials are working to enlist other manufacturers, including automakers and their suppliers, to team with weapons makers to replenish military supplies. GM and Lockheed were in talks about the automaker producing munitions parts, The Wall Street Journal reported earlier this year.

GM is working to expand its defense business, a small but growing unit. Chief Executive Mary Barra touted the division this summer in a call with analysts, saying she anticipated $700 million in defense revenue this year and double-digit margins.

GM and other automakers are seeking new revenue streams in a tough global auto market. More so than its rivals, GM has been open to defense work.

Lockheed has spent the past year rushing to assemble new suppliers for its Patriot interceptor, a high-end missile capable of knocking down a range of airborne attacks. According to The Wall Street Journal, dwindling Patriot stockpiles have left Ukraine dangerously exposed to Russian missile barrages for months, while the U.S. war with Iran has severely depleted American inventories.

GM said it hopes to continue leveraging its capabilities for defense work, but did not specify any future projects.