Why It Matters
A Congressional Research Service report updated on June 23 found that recent Middle East operations have severely depleted the Terminal High Altitude Area Defense (THAAD), a key anti-ballistic missile system built by Lockheed Martin, raising urgent questions about readiness and forcing policymakers to weigh expensive replenishment against competing defense priorities.
Replenishing that supply could take three to eight years.
Additional THAAD units might be required to support the Golden Dome homeland missile defense initiative.
The Big Picture
THAAD is a 'hit-to-kill' interceptor system capable of engaging targets at ranges of 150 to 200 kilometers, covering the middle tier of U.S. ballistic missile defense. During Operation Epic Fury, which launched on February 26, THAAD contributed to a reported over 90 percent interception rate against Iranian missiles and drones, particularly in the United Arab Emirates.
With the 2024 deployment to Israel, at least half of the Army's eight THAAD batteries were simultaneously deployed on operations. Six THAAD launchers from U.S. Forces Korea deployed to the Middle East in March 2026 to support Operation Epic Fury and returned to South Korea in June 2026.
Procuring a single THAAD battery, including 192 interceptors, costs an estimated $2.73 billion. Operations and sustainment costs run $32.5 million annually per battery. Congress authorized and funded an eighth battery through the FY2021 National Defense Authorization Act, with Lockheed Martin delivering the minimum engagement package in June 2025.
As of March 17, the Army and Missile Defense Agency were developing a plan to transfer THAAD management from MDA to Army control by FY2027, which would integrate it with systems like Patriot and the Integrated Air and Missile Defense Battle Command System.
The Bottom Line
The U.S. faces a critical gap between THAAD force structure and competing demands. Recent combat operations in the Middle East have consumed roughly 15 percent of the Army's interceptor stockpile, while the Trump administration's Golden Dome homeland missile defense initiative requires additional units to defend U.S. territory. Simultaneously, the planned transfer of THAAD management from the Missile Defense Agency to Army control by FY2027 will shift budget and operational responsibility to a service already stretched across overseas commitments and homeland defense.
Congress will likely face pressure to authorize and fund additional THAAD batteries (potentially through Army National Guard expansion) while also accelerating interceptor procurement to restore stockpile levels. The three-to-eight-year replenishment timeline means decisions made in the next budget cycle will determine whether the U.S. can sustain simultaneous operations in multiple theaters while building out the new homeland defense architecture.
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