Canada has ordered a review of its planned purchase of United States F-35 fighter jets, casting doubt on the future of the multi-billion dollar deal amid escalating tensions between the two countries.
Newly appointed Prime Minister Mark Carney has instructed Defense Minister Bill Blair to reassess the acquisition in light of the “changing environment”, a spokesperson for the minister confirmed on Saturday.
While the contract with Lockheed Martin for 88 F-35s remains active, and funds for the initial 16 aircraft are committed, the review signals potential hesitation on the part of the new administration.
Carney has requested a thorough examination of whether the existing contract represents the optimal investment for Canada, and whether alternative options could better address the country’s defense needs.
“The F-35 contract has not been canceled,” Blair’s press secretary, Laurent de Casanove, said.
“But we need to do our homework given the changing environment, and make sure that the contract in its current form is in the best interests of Canadians and the Canadian Armed Forces.”
This development comes amidst escalating trade tensions between Canada and the US, with President Donald Trump’s aggressive rhetoric and policies stoking resentment north of the border.
The increasingly strained relationship adds another layer of complexity to the F-35 decision, raising questions about Canada’s long-term defense strategy in the face of an unpredictable geopolitical landscape.
The government had budgeted about $19 billion Canadian (US$13 billion) for the purchase in what is the largest investment in the Royal Canadian Air Force in more than 30 years. The full life cycle of the program is expected to cost $70 billion (US$49 billion).
The agreement to buy 88 came in 2023 as former Prime Minister Justin Trudeau was set to meet with former US President Joe Biden.
The Canadian government said in 2022 that Lockheed Martin’s F-35 was deemed to be the top-ranked bidder for a new fighter jet to replace aging F-18s, deciding against Boeing’s Super Hornet and the Swedish-built Saab Gripen. That ended years of deliberations over its aging fleet.
The purchase would fulfill Canada’s obligations to defend North America’s air space.
The Swedish Saab proposal promised that assembly and maintenance would take place in Canada.
Portugal’s outgoing defense minister said in an interview with a Portuguese newspaper published Thursday that “recent positions” taken by the US compelled a rethink about the purchase of F-35s because the US had become unpredictable.
Defense Minister Nuno Melo said the US could in the future impose limits on the planes’ use, their maintenance or their components. Portugal is considering various options to replace F-16s.
