Pacific Dragon: Is the Shipping Industry Ready for Containerized Missile Warfare?

In a groundbreaking naval exercise, the U.S. Navy and its allies tested the launch of one of its most powerful defensive missiles from a shipping container, marking a significant leap in ship defense technology. During Pacific Dragon 2024, the system successfully launched Raytheon’s SM-3 Interceptor anti-ballistic missile, showcasing a new level of flexibility in defending against airborne threats. What’s even more intriguing—and unsettling for some—is the potential to deploy these containerized missile systems on commercial vessels, blurring the lines between civilian and military assets.

Could these systems be installed on commercial ships to defend against threats like Houthi missile and drone attacks in the Red Sea? While it’s a remote possibility, it raises serious questions about the future of maritime security. Extensive testing, and even tougher international discussions on the legalities of arming merchant ships, would be required before this concept could become reality.

A New Era for Naval Warfare: The Mark 70 PDS and Its Capabilities

Central to this exercise was the Mark 70 Mod 1 Payload Delivery System, a containerized version of the Navy’s Vertical Launch System (VLS). This system packs four VLS cells into a standard shipping container, making it easily transportable by semi-truck and mountable on a wide range of naval platforms. It’s a flexible, modular solution that can enhance missile defense capabilities both on land and at sea.

While the test relied on Aegis systems for missile guidance, defending commercial ships could be done using simpler sensors—such as drones or commercial radar—or with offboard sensors feeding targeting data from UAVs. In fact, the U.S. Navy already successfully engaged a ballistic target using offboard sensor data during the Pacific Defender 24 exercise off the coast of Hawaii, according to Naval News.

Containerized Missiles on Commercial Ships: A Growing Concern

The flexibility of the Mark 70 PDS is a major advantage for the Navy—but it’s also a cause for concern. Imagine a future where an innocent-looking cargo ship is armed not just with goods but with advanced missile systems capable of striking enemy targets. This scenario opens up a potentially dangerous new chapter in hybrid warfare, where commercial vessels could be turned into covert weapons platforms.

With rising tensions from near-peer adversaries, containerized missiles could be hidden aboard commercial ships or deployed to forward bases under the radar. These systems could rapidly be positioned in contested zones, giving nations a strategic edge—but also introducing serious risks.

Why Pacific Dragon 2024 Matters

The implications of Pacific Dragon 2024 are far-reaching. The successful launch of the SM-3 from a containerized platform proves that the Mark 70 system can do more than increase magazine depth on Navy ships. It can also bring missile defense capabilities to vessels that aren’t equipped with advanced systems like Aegis. This means that smaller, less fortified ships—or even commercial ones—could be equipped with state-of-the-art missile defense systems, relying on offboard sensors for targeting.

The Future of Naval and Commercial Defense

As adversaries like Russia and China ramp up their missile capabilities and hybrid warfare tactics, the idea of deploying containerized missiles on both military and commercial platforms becomes more attractive—and more dangerous. Defensive systems like the SM-3 could be a welcome addition in high-risk areas like the Red Sea, offering protection from threats like Houthi attacks. But this raises a chilling question: if containerized defensive missiles can be placed on commercial ships, what’s to stop nefarious actors from swapping in offensive missiles?

In fact this news comes just days after  Anduril Industries, a California defense firm known for its disruptive approach to military tech, announced the new Barracuda modular missiles. Though Anduril hasn’t stated these weapons could find their way onto commercial vessels, it’s clear they are building technology that could fundamentally alter the way we think about ship defense. These anti-ship and land attack missiles, which cost significantly less than an SM-3 and might be capable of being lauched from shipping pallets, might transform even simple cargo ships and boats into lethal forces in a conflict.

The potential for misuse is real, and as the lines between civilian and military assets blur, the stakes have never been higher.

Also Read: China Has Militarized Seafarers Says US Navy Report