The F-35 program could move toward a 10-year production and sustainment model covering 850 U.S. aircraft under a framework agreement announced Thursday by Lockheed Martin and the U.S. Department of War.
The proposed arrangement would cover aircraft from Lots 21 through 30, associated initial spares, 10 years of modification kits and sustainment, and orders from international customers.
Lockheed Martin said production would remain at 156 aircraft per year under the framework.
The announcement was made in Arlington, Virginia, on October 22, 2026, and does not yet represent a finalized production contract.
Table of Contents
What the F-35 agreement includes
The proposed F-35 framework combines aircraft procurement with long-term support activities that have traditionally been negotiated through shorter contracting cycles.
| Element | Proposed scope |
|---|---|
| U.S. aircraft | 850 over 10 years |
| Production lots | Lots 21 through 30 |
| Annual production rate | 156 aircraft |
| Support | Initial spares, modification kits and sustainment |
| Next step | Congressional authority, appropriations and a formal contract award |
Lockheed Martin said the arrangement is intended to give suppliers more predictable demand for raw materials and critical parts.
The company also said the model could reduce costs through volume purchasing and long-term pricing.
According to the announcement, the framework is expected to support approximately 317,000 U.S. jobs and generate about US$79 billion in annual economic activity over the next decade.
Those economic figures are company estimates rather than an independent government assessment.
Why sustainment is central to the plan
The agreement comes as the F-35 program faces continuing questions about readiness, spare-parts availability and long-term affordability.
A June 2026 review by the U.S. Government Accountability Office found that the F-35 mission-capable rate declined from 67 per cent in fiscal 2021 to 44 per cent in fiscal 2025.
The full-mission-capable rate fell from 38 per cent to 25 per cent over the same period.
The GAO said the F-35 Joint Program Office estimated that U.S. military services would need approximately US$13.7 billion above previously planned sustainment funding between fiscal 2026 and fiscal 2031 to meet its readiness goals.
That additional funding would cover spare parts, depot repair capacity and operating and maintenance requirements.
The new framework attempts to address some of those problems by linking aircraft production with spares, modification kits, inventory visibility and readiness data.
Lockheed Martin said the approach would support investment in manufacturing capacity and improve repair turnaround times.
What it means for Canada’s F-35 fleet
Canada is not identified as a direct party to the newly announced U.S. framework, but the country is part of the international F-35 customer and sustainment network.
Canada has committed to acquiring 88 F-35A fighter aircraft for the Royal Canadian Air Force.
The federal government’s 2026-27 project update says Canada plans to receive its first aircraft at Luke Air Force Base in Arizona during the current fiscal year.
The same update says the remaining aircraft from Lot 18 are expected in late 2026, while aircraft from Lot 19 are planned for spring or summer 2027.
Canadian pilot training is also scheduled to begin at Luke Air Force Base.
The first Canadian aircraft is expected to be used for training and initial operations in the United States before the fleet begins its transition to Canadian bases.
Infrastructure work is continuing at Cold Lake, Alberta, and Bagotville, Quebec, where permanent fighter squadron facilities are being developed.
A larger and more predictable F-35 supply chain could benefit Canada indirectly by improving access to parts, repair services and common support systems used by partner nations.
However, the final effect on Canadian costs and delivery schedules will depend on the formal contract terms and the way international orders are incorporated into the arrangement.
Congressional approval still required
Lockheed Martin said the F-35 Joint Program Office and the company must still finalize pricing, schedules and other contract terms.
The company said the framework requires multiyear authority and associated appropriations in the coming months.
That means the agreement remains subject to decisions by Congress and the U.S. government’s budget process.
Lockheed Martin’s third-quarter filing also disclosed that it remained in negotiations with the U.S. government on F-35 production contracts for Lots 20 and higher.
The company said costs incurred during the third quarter had begun to exceed the authorization and funding available under the Lot 20 advance acquisition contract.
Until a formal award is completed, the announced framework should be treated as a procurement plan rather than a fully funded order for 850 aircraft.
What happens next
The next steps will include securing statutory multiyear authority, approving appropriations and negotiating the detailed production and sustainment contracts.
Officials will also need to determine how the arrangement affects international customers, aircraft configurations, modification schedules and the distribution of support responsibilities.
The outcome will be closely watched because the F-35 is one of the largest and most complex military aircraft programs in the world.
For Canada, the immediate focus remains the arrival of its first F-35A, the start of pilot training and preparations for future operations at Cold Lake and Bagotville.
Frequently Asked Questions
What was announced about the F-35 on October 22, 2026?
Lockheed Martin and the U.S. Department of War announced a framework for multiyear F-35 production and sustainment covering 850 U.S. aircraft over 10 years, subject to further approvals.
Does the agreement mean 850 F-35 jets have been ordered?
No. The framework still requires multiyear authority, appropriations and a formal contract award before the proposed quantities and terms become fully funded.
How many F-35 aircraft is Canada buying?
Canada has committed to acquiring 88 F-35A fighter aircraft for the Royal Canadian Air Force.
When will Canada receive its first F-35?
Canada’s 2026-27 project update says the first aircraft is expected at Luke Air Force Base in Arizona during the current fiscal year, with Canadian pilot training also scheduled to begin there.
Why is F-35 sustainment part of the new agreement?
The sustainment component is intended to improve access to spare parts, repair capacity, modification kits and readiness data while giving suppliers longer-term planning certainty.
Fact-Checked: Key production, funding, readiness and Canadian delivery details were checked against Lockheed Martin, Government of Canada and U.S. Government Accountability Office information. ([investors.lockheedmartin.com](https://investors.lockheedmartin.com/node/53321/pdf))
Disclaimer: The proposed F-35 framework remains subject to U.S. government authorization, congressional appropriations and a finalized contract.