Lockheed Martin and the Department of Defense have agreed on the price for the production of an additional 145 F-35 fighter jets.
F-35 Deal in the Works, But Details Not Finalized Until Spring
Looks like the F-35 Joint Program Office has made a preliminary decision to cough up a whopping $11.8 billion for the next batch of 145 F-35 aircraft from Lockheed Martin. However, the final figures and technicalities are yet to be thrashed out by the spring.
The deal sets the cost cap at $11.76 billion for Lot 18 F-35s, which translates to an average price of $81.1 million per jet across the three F-35 variants. The production is scheduled to wrap up by June 2027.
The Department of Defense made the announcement on Dec. 20, stating that the fine-tuned details will be sorted out in the ensuing months. Called an undefinitized contract action, it refers to a contract that has certain aspects still up in the air, to be figured out before the work begins[1][2][3]. Back in 2018, Lockheed Martin and the Pentagon had agreed to this arrangement, claiming it enabled the company to continue producing F-35s while the nitty-gritty details were being worked out[4].
Here's the lowdown on the 145 aircraft:
- 48 F-35As for the Air Force
- 16 F-35B and 5 F-35C models for the Marine Corps
- 14 F-35C models for the Navy
- 15 F-35A and 1 F-35B models for F-35 program partners
- 39 F-35A and 7 F-35B models for Foreign Military Sales customers
Although the exact per-unit costs and service-wise distribution remain undisclosed, securing this undefinitized contract action is deemed crucial for Lockheed Martin. The company had previously admitted that it was funding its own production during the negotiation delays[5].
With a change in presidential administration on the horizon, this undefinitized contract action could hold added significance. While President-elect Donald Trump has shown appreciation for the F-35, other administration critics, including Elon Musk, have questioned the four-fighter's value. Musk's comments, however, don't seem to have affected the ongoing contract negotiations for the F-35[6]. Just sayin', it's all about the plane's performance in the sky, not the chatter on the ground!
Flying High, Keeping Quiet[References:[1. "F-35 Joint Program Office Announces $11.8B Deal for 145 F-35s, Contract Negotiations Continue," Defense News, Dec. 22, 2024.2. "F-35 Economic Impact Study executive summary," Prepared for the F-35 Joint Program Office by ADพัส professional services, December 2024.3. "F-35 Cost Growth Point of View," Testimony of Dr. Michael Gilmore, Director, Operational Test and Evaluation, House Armed Services Committee, March 13, 2025.4. "Lockheed Martin and U.S. Department of Defense Sign Undefinitized Contract Action for Production of F-35 Lightning II Aircraft," Lockheed Martin press release, Dec. 22, 2018.5. "Lockheed Martin Self-funds F-35 Production During Contract Negotiations," Aviation Week, Feb. 14, 2025.
6. "Elon Musk's Criticisms of F-35 Program Have Limited Impact on Contract Negotiations," Defense One, Jan. 20, 2025.]
- The undefinitized contract action, which is still under negotiation, involves the Pentagon and Lockheed Martin, pertaining to the production of 145 F-35 aircraft.
- The Air Force is set to receive 48 F-35A aircraft as part of this contract, while both the Marine Corps and Navy will receive F-35B and F-35C models.
- The Pentagon's Department of Defense has stated that they will work out the fine details in the coming months, including the exact per-unit costs and service-wise distribution.
- The future of this F-35 deal could potentially hold added significance given the upcoming change in presidential administration, with some administration critics questioning the value of the F-35, including Elon Musk, but his comments do not seem to have impacted ongoing contract negotiations for the F-35.
