Canada is officially considering options other than the Lockheed Martin [LMT] F-35 Joint Strike Fighter for replacing its CF-18 fighter jet fleet, according to a Canadian government statement.
The decision to consider other options was made official by Canada in releasing its “Seven-Point Plan,” which will guide the Canadian government in its evaluation of alternative fighter aircraft. Canada has been rumored for months to be thinking about dropping out of the F-35 program because of rising costs.
“With the release of the ‘Terms of Reference’ that will guide the evaluation of alternative fighter aircraft, we are demonstrating that we are serious about looking at all available options to replace the CF-18s,” Rona Ambrose, Canada’s minister of public works and government services and minister of status for women, said recently in a statement.
In its December Next Generation Fighter Capability Annual Updates, Canada estimated total lifecycle costs for 65 F-35As over 42 years at $45.8 billion. The report said Canada’s defense department reported in 2010 that the cost of acquiring 65 F-35As would cost $9 billion and total lifecycle costs would be $25.1 billion. The F-35A is the conventional variant that is being purchased by the United States Air Force.
During the reevaluation process, Canada said the “statement of operational requirement” prepared by the Royal Canadian Air Force that led to the selection of the F-35 will be set aside and not used as part of this new evaluation of options.
Canada said while its funding for the purchase of 65 F-35As is frozen, it remains a partner in the JSF Memo of Understanding with the eight partner nations: The United States, the United Kingdom, Italy, the Netherlands, Turkey, Australia, Denmark and Norway.
Lockheed Martin spokesman John Giese said recently in a statement the company continues to look forward to supporting the Canadian government as it works to provide its air force fifth generation capability for their future security needs.
Canada’s decision to reconsider the F-35 could be good news for rival Boeing [BA] and its F/A-18 Super Hornet fighter jet, which has been marketed as an affordable equivalent to the F-35.
Lockheed Martin is teaming on the F-35 with subcontractors Northrop Grumman [NOC] and BAE Systems.