F-35 Jet Costs Soar, US Air Force Trims Orders

Rising inflation and supply chain woes impact production.

The price of the F-35 fighter jet is expected to increase, mirroring similar concerns in Switzerland, even as the U.S. Defense Department plans to reduce its orders. Negotiations are underway between **Lockheed Martin** and the American government regarding production costs.

Increase in Production Costs Expected

The negotiations specifically address production lots 18 and 19 of the F-35. Switzerland is slated to receive eight aircraft from Lot 19, with delivery expected in 2027.

Washington anticipates a rise in costs for these lots, impacting purchases for the U.S. Air Force, Navy, and Marines. The reasons for this increase are linked to high inflation and raw material prices.

Following high inflation in the United States, people have seen the cost of living increasing. They have increased increases [de salaire]. This, of course, ends up repercussions on [le prix de l’avion], said **Doug Birkey**, executive director at the Mitchell Institute for aeronautical and space studies.

**Birkey** also noted the impact of titanium supply disruptions due to the war in Ukraine, as well as recent technical advancements in the aircraft.

Unlike the situation in Switzerland, the expected price increase has not sparked controversy in the U.S., possibly because bodies like the American Court of Auditors (GAO) and the Department of Defense have long anticipated rising F-35 costs.

US Air Force Cuts F-35A Orders

Since 2022, the American air forces have reduced their orders for the F-35A, the same model chosen by Switzerland. Numbers have fallen from 60 in 2021 to only 24 planned for 2026.

These figures come from declassified “justification of the acquisitions of the American Air Force” reports, which are part of the Ministry of Defense’s budgetary forecasts.

According to **Daniel Norton**, principal researcher in management systems at Rand, the decrease in orders can be attributed to multiple factors, including efforts to stabilize the acquisition program and account for cost evolution.

Important reductions, such as that of exercise 2026, may rather be a sign of a change in priorities or dissatisfaction with the program, said **Norton**.

**Norton** cited issues such as unavailable components, unfinished improvements, and delayed engine deliveries, according to the American Court of Auditors.

Moreover, the F-35 has faced persistent challenges in achieving operational capacity rates comparable to previous aircraft.

**Birkey** offered a different view. The prizes that come out of the production currently are incredibly efficient. Look at what the F-35 of the Israeli army achieved against Iran. They have behaved beautifully in the most complex combat environments that can be found on the planet.

The U.S. defense establishment appears to be waiting for modernizations and required improvements before committing to larger orders. As of now, the Trump administration has not decided whether to extend this order reduction strategy across multiple budget years, despite a commitment to purchase over 2,470 devices by the 2040s. In February 2024, the GAO released a report citing the need for more realistic cost estimates and risk assessments for the F-35 program (GAO Report 2024).