Industry Minister Mélanie Joly drew attention to a $27-billion deal to procure 88 F-35 jets, emphasizing the need for more job opportunities within Canada. Joly openly discussed ongoing talks with Saab, a Swedish defense company offering to bring thousands of aerospace manufacturing jobs to Canada through the assembly of its Gripen E fighter jet. The minister highlighted the potential for job creation, noting Saab’s commitment to providing 10,000 jobs.
In response to the Saab proposal, Joly emphasized the importance of exploring options to maximize benefits for Canadian workers. The government is also considering the capabilities of Lockheed Martin, the American company behind the F-35 program. This development coincided with a high-profile visit by Swedish representatives, including business leaders and political figures, to Ottawa.
The initial F-35 deal with Lockheed Martin was signed in 2023 to replace Canada’s aging CF-18 jets. While the first batch of 16 fighters is scheduled for delivery between 2026 and 2030, a review of the purchase was initiated following trade tensions under the Trump administration. The review process is ongoing, despite initial promises of timely completion.
In traditional defense procurement agreements, winning bidders typically invest in the local economy. However, the arrangement with Lockheed Martin involves Canada’s participation in a global bidding pool for F-35-related work. The program is projected to generate significant industrial value for Canada over several decades. Opposition voices supporting the F-35 have expressed concerns about jeopardizing existing Canadian contracts and jobs amidst the ongoing review.
As discussions continue, there is a debate within the defense community about the potential benefits of a mixed fleet approach. Some experts suggest that diversifying the fleet could lead to cost savings, particularly in terms of life-cycle sustainment expenses. Lt.-Gen. Jamie Speiser-Blanchet, the RCAF’s new commander, advocates for the F-35 program, citing the need for advanced fighter jets to address evolving global threats.
The decision on whether to proceed with the F-35 program or explore alternative options remains pending, with considerations beyond job creation, including strategic and financial factors, coming into play.
