Avio and Lockheed Martin have signed a non-binding term sheet to support the establishment of Avio USA’s state-of-the-art solid rocket motor (SRM) facility in the United States, which expects to serve Lockheed Martin and other customers as a vertically integrated merchant supplier (see AVIONEWS). 

Lockheed Martin will have preferred access to a portion of the Avio USA plant production capacity to meet future demand for its products while enhancing supply chain resilience to the US industrial base for both tactical and strategic size SRMs. The parties intend to negotiate a Strategic Cooperation Agreement in the near future to further align with the common goal of increasing the surety of supply for cost effective propulsion systems.

Avio’s planned investments in fully integrated capabilities and specialized know-how are designed to promptly address customer needs, building on the company’s extensive heritage in solid rocket motor technology. This initiative will strengthen the US solid propulsion industrial base, positioning Avio USA as a key contributor to the defense supply chain.