Canada begins payments for 14 more F-35 jets amid ongoing fleet review and U.S. tensions.

According to CBC News, Canada has begun payments for long-lead components linked to 14 additional F-35 fighter jets, separate from the 16 aircraft already under contract.

According to CBC News, the Canadian government has initiated payments for long-lead items associated with 14 additional F-35 fighter jets beyond the first 16 already approved for delivery beginning in late 2026. The components, which include structural assemblies and avionics systems, must be ordered years in advance to retain Canada’s position in the production sequence managed by Lockheed Martin. The Department of National Defence stated that the broader review of future fighter acquisitions remains ongoing and did not confirm a formal commitment to additional aircraft.
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On January 28, 2025, Canadian Defence Minister David McGuinty stated that 16 F-35 fighter jets had been acquired and that further acquisition of the original 88-unit fleet remained under review. (Picture source: US Air Force)

According to CBC News, the Canadian government discreetly began making payments for long-lead components associated with 14 additional F-35 fighter jets while a federal review of future fighter acquisitions remained underway. The expenditures are separate from the first contract covering 16 F-35 aircraft that are scheduled to begin delivery to the Canadian Armed Forces at the end of 2026. The payments concern parts that must be ordered several years before final assembly and are intended to preserve Canada’s position in the production sequence and avoid reassignment of delivery slots to other buyers. The Department of National Defence declined to confirm that new funds had been committed for additional aircraft and stated that the broader review of further acquisitions is still ongoing. At the end of 2025, the department reported C$476 million in additional spending on the CF-18 replacement program, without specifying whether that amount included allocations for aircraft beyond the initial 16.

The 14 aircraft tied to the recent payments relate specifically to long-lead items, a category that includes structural components, avionics elements, and other assemblies that suppliers require to be contracted well in advance of final production. These expenditures are in addition to the first batch of 16 F-35s already approved and funded, and those aircraft are expected to begin arriving before the retirement of the CF-18 fleet. Failure to order such components within established timelines can result in a country losing its assigned manufacturing slots, since the Joint Strike Fighter program allocates production capacity among multiple international customers. The fact that these advance payments were not publicly announced increases political sensitivity, given that the government continues to state that further fleet decisions remain under review. As a result, Canada is simultaneously sustaining industrial timelines for additional aircraft while maintaining that no final political determination has been made on the total fleet size.

Canada’s participation in the Joint Strike Fighter program began in 1997, when it invested US$10 million to join the Concept Demonstration phase as an informed partner. In 2002, Canada committed US$150 million to participate in the System Development and Demonstration phase, which extended over more than ten years. In 2006, Canada signed a memorandum of understanding covering Production, Sustainment and Follow-on Development for the period 2007 to 2051, at an anticipated cost of more than half a billion dollars. On July 16, 2010, the federal government announced its intention to procure 65 F-35 aircraft to replace 80 CF-18 Hornets, citing an acquisition estimate of C$9 billion and C$16 billion, including ancillary costs such as maintenance. Deliveries were initially projected to begin in 2016, reflecting an early assumption that the aircraft would enter full production without extended delays.

The 2010 sole-sourced approach triggered significant political and procedural controversy, particularly regarding cost transparency and the absence of a competitive process. In April 2012, a critical assessment concluded that the procurement process contained substantial deficiencies, and public debate intensified around lifecycle cost projections and industrial offsets. In October 2015, the Liberal Party won a majority government after campaigning on a pledge not to proceed automatically with the F-35 and to consider alternative, lower-priced options. A formal competition was later launched that included the F-35, and on March 28, 2022, the government announced that the F-35A had been selected as the preferred aircraft, with negotiations to acquire 88 units. On December 20, 2022, the Department of National Defence received approval to spend $7 billion on 16 F-35As and associated equipment, including training systems, potential weapons, and support infrastructure.

Program cost projections have varied over time. The overall program was originally valued at C$19 billion, but with sustainment and infrastructure included, lifecycle estimates have reached C$27.7 billion. Earlier long-term cost assessments projected substantially higher totals than initial public figures, contributing to sustained parliamentary and public scrutiny. Unit cost estimates cited in political debate ranged from approximately $75 million per aircraft in early government statements to figures exceeding $100 million when broader acquisition elements were considered. Only 16 aircraft are firmly funded at present, and discussions have included the possibility of reducing the total order to roughly 40 jets, which would represent a reduction of more than 50 percent from the announced 88-aircraft objective. These cost variables form a central part of the ongoing review.

The current review of Canada’s full F-35 order was initiated in 2025 under Prime Minister Mark Carney in response to trade tensions with the United States, including tariffs imposed on Canadian steel, aluminum, and automotive exports, as well as annexation threats directed at Canada. On January 28, Defence Minister David McGuinty stated that 16 F-35 fighter jets had been acquired and that further acquisition of the fleet remained under review. The review, therefore, links defence procurement with broader economic and diplomatic considerations. The government has been described as using the possibility of expanded F-35 procurement as leverage in negotiations with Washington, reflecting the integration of security policy and trade relations. This approach places the aircraft decision within a wider geopolitical framework rather than treating it solely as a replacement for aging CF-18 fighters.

Alliance interoperability has also entered the debate. The U.S. ambassador Pete Hoekstra stated that reducing or abandoning the full F-35 acquisition would obligate Washington to “fill those gaps,” potentially by purchasing additional U.S. F-35s and deploying them to assume missions in Canadian airspace normally shared under binational arrangements. He warned that, if Canada selected a fighter considered less interoperable than the F-35, longstanding NORAD arrangements would need to be altered if Canada is deemed unable to provide the expected level of fighter capability. In parallel, President Donald Trump’s administration applied broader pressure through trade actions, including 25 percent tariffs on Canadian goods in 2025 and threats to impose a 50 percent tariff on Canadian-made aircraft and revoke U.S. certification for Bombardier business jets, as part of the wider pressure environment surrounding Ottawa’s review of its full F-35 commitment.

At the same time, domestic polling commissioned by Ekos Politics indicated that 72 percent of Canadians supported incorporating Sweden’s Gripen into Canada’s fighter fleet, either by switching future purchases to that aircraft or by maintaining a mixed fleet. Saab's proposal could create thousands of domestic jobs and strengthen the national aerospace industrial base through local manufacturing activity, especially when coupled with a GlobalEye purchase. A mixed fleet composed of F-35s and Gripens could allow Canada to diversify suppliers and potentially moderate overall program expenditure while retaining advanced fighter capability. However, reducing the F-35 order in favor of a mixed fleet could affect interoperability within NATO and NORAD and increase bilateral tension with Washington. The debate, therefore, involves quantifiable trade-offs among cost projections, industrial employment, alliance integration, and long-term operational requirements.

According to Lockheed Martin, Canada’s status as a level-three industrial partner in the Joint Strike Fighter program has resulted in 144 contracts awarded to Canadian companies, universities, and government facilities. These contracts were valued at US$490 million between 2002 and 2012, with expected values of US$1.1 billion from 2013 to 2023 and a total potential estimated value ranging between US$4.8 billion and US$6.8 billion. By 2013, potential benefits to Canadian firms had risen to $9.9 billion. Participation provides Canadian industry access to production work in composites, manufacturing, and logistics within the multinational supply chain. These industrial returns remain a measurable factor in evaluating Canada’s continued participation in the global F-35 program and in assessing the economic implications of any change in procurement direction.

Written by Jérôme Brahy

Jérôme Brahy is a defense analyst and documentalist at Army Recognition. He specializes in naval modernization, aviation, drones, armored vehicles, and artillery, with a focus on strategic developments in the United States, China, Ukraine, Russia, Türkiye, and Belgium. His analyses go beyond the facts, providing context, identifying key actors, and explaining why defense news matters on a global scale.