Trump's Patriot license pledge pressures Lockheed, RTX

President Donald Trump told Ukrainian President Volodymyr Zelenskyy this week that the US would grant a license for Ukraine to manufacture Patriot missile interceptors, a move that puts Lockheed Martin Corp. and RTX Corp.'s Raytheon unit in the spotlight.

Representative Michael McCaul, a Texas Republican on the House Foreign Affairs Committee, said Saturday it is in the defense contractors' interest to let Ukraine produce the system. “I think it’s in their best interest to do so for many factors,” McCaul said on Bloomberg This Weekend. “If the president wants this done, it’s in their best interest to comply with that.”

Zelenskyy has pressed allies for more interceptors to counter Russian ballistic missile strikes that have devastated cities over more than four years of war. Trump told Zelenskyy during a NATO summit meeting that the US would be “giving a license to you” to make Patriots, which also relies on RTX technology.

McCaul, speaking from Ukraine, said Ukrainian military officials briefed him on local drone technology and advances in retaking occupied territory. “I think Ukrainians can build this thing faster, and maybe even better,” he said, referring to the Patriot system. “So Lockheed could learn something from the Ukrainians about their own interceptors – how to improve them, how to manufacture them more quickly.”

The comments underscore the potential for a new production arrangement involving two of the largest US defense contractors. Lockheed Martin holds an Alpha Score of 46 on AlphaScala, labeled Mixed, while RTX scores 56, categorized as Moderate. Both companies fall under the Industrials sector.