This article is based on official announcements from the US Department of Defense and reporting by Taiwan News.

US Awards Lockheed Martin $328.5 Million Contract for Taiwan F-16 IRST Systems

The United States Department of Defense (DoD) has awarded Lockheed Martin Corp. a contract with a ceiling value of $328.5 million to produce advanced sensor systems for the Taiwan Air Force. Announced officially on December 31, 2025, the deal secures the production and delivery of 55 Legion Enhanced Infrared Search and Track (IRST) pods, a critical technology designed to modernize Taiwan’s F-16 fleet against stealth threats.

According to the Pentagon’s announcement, the acquisition addresses an “urgent operational need” for Taiwan. While the total contract value reaches approximately NT$10.3 billion, reporting by Taiwan News indicates that NT$4.9 billion ($157.3 million) has been obligated upfront to initiate the project immediately.

Contract Specifications and Timeline

The contract is managed by the US Air Force Life Cycle Management Center based in Warner Robins, Georgia, with the primary work to be performed by Lockheed Martin’s Missiles and Fire Control division in Orlando, Florida.

Key details of the agreement include:

• Total Ceiling Value: $328,500,000 USD.
• Equipment: 55 Legion Enhanced IRST sensor pods, including associated processors and shipping containers.
• Completion Date: Work is expected to conclude by June 30, 2031.
• Funding: The project is financed through Foreign Military Sales (FMS) funds.

Although the contract vehicle references broader hardware categories such as “Sniper” and “LANTIRN,” the Department of Defense clarified that this specific order is strictly for the IRST systems.

Tactical Advantage: The Legion Pod

The procurement of the Legion Pod represents a significant tactical shift for Taiwan’s air defense capabilities. The system utilizes the IRST21 sensor, which allows 4th-generation Military-Aircraft like the F-16V to detect and track airborne threats passively.

Unlike traditional radar, which emits radio waves that can reveal the transmitting aircraft’s location, IRST scans for heat signatures. This provides two distinct advantages in the Taiwan Strait operating environment:

1. Counter-Stealth: Radar-absorbing materials used on 5th-generation fighters, such as China’s J-20, are less effective against thermal detection. The Legion Pod enables F-16s to engage stealth targets that might otherwise remain invisible to radar.
2. Jamming Immunity: Because the system relies on infrared emissions rather than radio frequencies, it is immune to standard electronic warfare jamming techniques.

“This contract provides for the procurement and delivery of fifty-five Infrared Search and Track Legion Enhanced Sensor pods… required to meet the urgent operational need of the Taiwan Air Force.”

, US Department of Defense Statement

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AirPro News Analysis

We observe that while the “urgent operational need” designation highlights the immediate tension in the region, the delivery timeline extends through 2031. This suggests a long-term strategy to maintain the relevance of Taiwan’s F-16 fleet well into the next decade rather than a stop-gap measure.

Furthermore, the integration of IRST pods effectively narrows the technological gap between Taiwan’s upgraded F-16Vs and the People’s Liberation Army’s (PLA) growing fleet of stealth aircraft. By allowing a 4th-generation platform to passively track a 5th-generation threat, the Taiwan Air-Forces gains a cost-effective method to complicate PLA air superiority planning without requiring an immediate transition to F-35s.

Regional Strategic Context

This arms sale occurs against a backdrop of heightened military activity in the region. The contract announcement followed shortly after the “Justice Mission 2025” military exercises conducted by the PLA around Taiwan in late December.

Taiwan is currently in the process of upgrading its existing fleet to the F-16V (Block 70/72) standard and is awaiting the delivery of 66 new-build F-16 Block 70 fighters from the US. The first of these new jets reportedly began flight testing in late 2025. This sensor package appears to be part of a broader $11.1 billion arms initiative approved in December 2025, aimed at reinforcing the island’s defensive posture.

Sources:
Taiwan News
US Department of Defense