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Multiyear F-35 production and sustainment strengthens the supply chain, saves billions in taxpayer dollars and improves fleet readiness.

ARLINGTON, Va., Oct. 22, 2026 /PRNewswire/ — The Department of War and Lockheed Martin (NYSE: LMT) have announced a significant framework agreement for multiyear F-35 Lightning II production and sustainment. This agreement encompasses the procurement of 850 U.S. aircraft over a 10-year span, along with initial spares, modification kits, and sustainment for the same duration, as well as orders from international customers across Lots 21-30, maintaining a production rate of 156 aircraft annually.

Lockheed Martin Chairman, President and CEO Jim Taiclet stated, “This multiyear framework strengthens the way we can plan and invest in the F-35 enterprise. With the greater certainty that comes from the U.S. government’s transformative approach to F-35 production and sustainment, we can make the upfront investments needed to expand capacity, improve efficiency, and build a more resilient supply chain. That’s good for the taxpayer, good for our suppliers and, most importantly, good for the United States and its allies.”

Subject to the granting of multiyear authority and relevant appropriations in the upcoming months, the F-35 Joint Program Office alongside Lockheed Martin will finalize the contract terms, pricing, and schedules through a formal award. This initiative is projected to save taxpayers billions over the F-35’s lifecycle, thanks to long-term pricing and industry volume discounts.

The framework agreement directly addresses the Department of War and Congressional priorities focused on enhancing F-35 readiness by:

• Providing predictable, multiyear procurement planning that eliminates the need for supplemental appropriations for obsolescence management and production tooling.
• Delivering high-volume procurement efficiencies and discounts resulting in concrete savings for taxpayers.
• Ensuring transparent, data-driven decision-making through integrated analytics that connect budget inputs to readiness outcomes.
• Offering real-time visibility into parts inventory and readiness metrics with integrated analytics.

Highlights:

• Supply Chain Stability – Prospective supply chain stability from long-term contracts will enable bulk procurement of raw materials and essential parts, significantly reducing turnaround times and mitigating logistics challenges, leading to improved mission capabilities.
• Affordability – This integrated procurement model, which aligns aircraft production with spare parts purchases, will yield high-volume discounts, driving down unit costs and ensuring the U.S. government receives the cost predictability it requires.
• Economic Impact – The program is expected to support 317,000 U.S. jobs and generate approximately $79 billion in annual economic activity over the next decade, fortifying the national industrial base and providing stability for suppliers affected by the previous funding model.
• Readiness – This framework includes investments in industry capacity and logistics that build on Lockheed Martin’s previous investments in the global spares pool, enhancing fleet readiness and expediting repair turnaround times for operations.
• International Benefits – The multiyear procurement model allows for economies of scale, thus decreasing costs and improving readiness for all F-35 customers, bolstering confidence in the global sustainment network and enhancing interoperability among allied fleets.

OJ Sanchez, president of Lockheed Martin Aeronautics, remarked, “Our new multiyear framework provides suppliers with the stability to plan for the future and invest confidently, which will improve readiness across the F-35 fleet. Along with the investments Lockheed Martin is making to the global spares pool, this will translate into higher mission readiness rates and a more resilient supply chain – both critical capabilities necessary for meeting current operational demands and preparing for future threats.”

About the F-35 Lightning II:

Over 1,375 F-35s have been fielded globally, having collectively surpassed one million flight hours. This combat-proven aircraft services 42 bases worldwide and is operated by 13 nations on home ground. As adversaries advance and legacy systems age, the F-35 is essential for preserving air dominance well into the future.

About Lockheed Martin:

Lockheed Martin is a global leader in defense technology, dedicated to driving innovation and advancing scientific discovery. Their all-domain mission solutions and vision for 21st Century Security® focus on accelerating the delivery of transformative technologies to stay ahead of demands. For further details, visit Lockheedmartin.com.

SOURCE Lockheed Martin Aeronautics

Source: Lockheed Martin (2026-10-22 10:10:00)