According to the Canadian Broadcasting Corporation (CBC), Canada is actively looking at potential alternatives to the U.S.-built F-35 stealth fighter and will hold conversations with rival aircraft makers, Defence Minister Bill Blair said late Friday.
Blair made the statement regarding the agreement signed for the purchase of $19 billion deal of 88 Lockheed Martin F-35 fighter jets from the United States in June 2023. The development comes a day after Portugal indicated that it would ditch its acquisition of F-35 jets.
Blair said Canada, which has been threatened with tariffs by US President Donald Trump, is considering options such as withdrawing from the $19 billion deal and purchasing the planes from alternative sources.
The decision, among the first taken by Prime Minister Mark Carney's new Cabinet, comes with US President Donald Trump imposing a blanket 25% tariff on goods coming from Canada.
However, Canada has already paid the amount for the first 16 Lockheed Martin F-35 jets, which are due to be delivered early next year. On this, Blair said he might not turn down the 16 F-35s that have been paid for and are expected to be delivered in 2026, adding,
"It was the fighter jet (F-35) identified by our air force as the platform that they required, but we are also examining other alternatives -- whether we need all of those fighter jets to be F-35," Blair told CBC.
Blair noted that the rest of the fleet could consist of aircraft purchased from European companies, and that options such as assembling aircraft parts in Canada were also being considered.
In his interaction, Blair also indirectly hinted that Canada was reexamining SAAB’s JAS 39E Gripen for Canada program.
Blair is suggesting that the first 16 units of F-35s might be accepted and the remainder of the fleet would be made up of aircraft from European suppliers, such as the Swedish-built Saab Gripen, which finished second in the competition.
CBC added in its report about an indirect reference to the Swedish proposal, which promised that assembly would take place in Canada and there would be a transfer of intellectual property, which would allow the aircraft to be maintained in this country.
Portugal is abandoning its Lockheed Martin F-35 fighter jet purchase, citing geopolitical changes as the country’s defense minister, Nuno Melo, announced that Lisbon is considering European options, emphasizing the need for predictability of partners and security of supply.
"The Prime Minister has asked me to go and examine those things and have discussions with other sources, particularly where there may be opportunities to assemble those fighter jets in Canada," CBC quoted Blair as saying.
Major maintenance, overhaul and software upgrades on the F-35 happen in the United States, which could another reason for Canada to feel insecured about the fleet Comabt ready condition.
Additionally, Last year, a report by the US Government Accountability Office (GAO) flagged rising costs and performance issues with the F-35.
Lockheed Martin was asked about Portugal's planned exit from the program and whether it would have an impact on Canada.
"Lockheed Martin values our strong partnership and history with the Royal Canadian Air Force and looks forward to continuing that partnership into the future," Rebecca Miller, Lockheed Martin's director of global media relations, said in a statement.
"Foreign military sales are government-to-government transactions, so anything further will be best addressed by the U.S. or respective customer governments."
If decided against the entire purchase of 88 units of F-35 deal, there would be some form of contract penalty. How much it would cost to get out of the contract remains unclear.
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