Lockheed Martin's Job Offer Tied to F-35 Orders

In a strategic move to secure a $14 billion deal, Lockheed Martin Corporation has proposed increasing job opportunities in Canada, contingent upon the Canadian government's commitment to purchasing all F-35 jets as initially ordered. This development was reported by The Globe and Mail, citing sources close to the matter.

Canada's Fighter Jet Dilemma

Earlier in January 2023, the Canadian government entered into a contract with Lockheed Martin for the acquisition of 88 F-35A Lightning II fighter jets, aiming to modernize its air force by replacing the outdated CF-18 fleet. However, the agreement currently only covers the funding for 16 aircraft, with the first delivery expected in 2026, leaving the purchase of the remaining 72 jets in a state of uncertainty.

Alternative Options on the Table

As the situation unfolds, Canada's alternative choice appears to be the JS 39 Gripen fighter jet, manufactured by Swedish Saab. This option emerged as the runner-up in the competition for the 2023 contract, presenting a potential pivot in Canada's defense procurement strategy.