The Pentagon Joint Program Office (JPO) and Lockheed Martin have finalised a massive agreement worth approximately $24.3 billion, covering around 300 F-35 stealth fighter jets. Announced on Monday evening, the contract concludes negotiations that have been ongoing since 2023, securing production Lots 18 and 19, which include 148 aircraft.
According to the deal, deliveries will begin in 2026 and will include both the US government and foreign buyers. Lockheed stated that the per-jet price in Lots 18–19 remained below the rate of inflation.
Lockheed Martin F-35 Programme General Manager Chauncey McIntosh said: “This contract demonstrates the continued confidence in the world’s most capable and affordable fighter aircraft. We are proud to support our customers and further strengthen the F-35’s role in securing peace through strength.”
Engines Under Separate Contract
The agreement only covers the aircraft fuselage. Engines are produced by Pratt & Whitney, a subsidiary of RTX, and supplied under a separate JPO contract. In August, the Pentagon allocated about $2.9 billion to Pratt for Lot 18 engines.
In previous lots (15–17), the average cost of an F-35A was around $82.5 million. Lot 18–19 prices are expected to remain at similar levels once adjusted for inflation.
Lengthy Negotiations Concluded
Talks between Lockheed and the Pentagon, which began in the summer of 2023, had lasted for more than two years. The finalisation of the contract removes a key uncertainty in the F-35 programme and is set to accelerate fleet modernisation plans for both the US and international partners.
Upgrades on the Horizon for the F-35 Programme
Modernisation work on the F-35 fighter jets continues. However, the Block 4 upgrade package has been delayed until 2031 and will be implemented with a more limited scope than originally planned.
