The U.S. Air Force has reduced its F-35 fighter jet order from Lockheed Martin (NYSE: LMT) by 50%, cutting the purchase from 48 to 24 aircraft, according to a Pentagon procurement document reviewed by Bloomberg.
The Department of Defense (DoD) now seeks only 24 F-35s in its latest procurement request, a significant reduction from the original 48-aircraft order. This decision aligns with broader budget cuts, as Defense Secretary Pete Hegseth has mandated an 8% reduction in U.S. military spending over the next five years.
The revised F-35 deal is valued at 3.5billion,withanadditional531 million allocated for advance procurement. Reports indicate that the Navy and Marine Corps are also planning to scale back their F-35 purchases.
This order reduction poses a challenge for Lockheed Martin, America’s largest defense contractor, whose F-35 program has faced criticism for its $2 trillion lifecycle cost and growing concerns over its relevance in an era of advancing military drones. The program has long been scrutinized for cost overruns and operational challenges, and this latest setback could further pressure the company’s defense revenues.
The move reflects broader fiscal constraints within the Pentagon, as the U.S. military faces increasing pressure to prioritize spending amid rising global security demands and economic pressures.
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