An analysis of the impact of Donald Trump’s tariffs on Canadian and European purchases of F-35 fighter jets.
President Donald Trump’s recent tariff increases, including an additional 25% tax on imports from Canada and Mexico, and a 10% tax on imports from China, are raising questions about their impact on Canada’s and some European countries’ F-35 fighter acquisition programs.
The F-35: an international program
The F-35 Lightning II, developed by Lockheed Martin, is a fifth-generation multi-role fighter. Several countries, including Canada and European nations, have invested in this program to modernize their air forces. Canada has signed a $19 billion contract for the purchase of 88 F-35s, with deliveries scheduled from 2026.
Impact of tariffs on Canada
New U.S. taxes could affect the cost of the F-35 for Canada. Although defense contracts are often exempt from such measures, the scale and nature of the current tariffs could lead to higher acquisition and maintenance costs. In addition, Canada has responded by imposing tariffs of 25% on certain US products, which could further complicate trade and industrial relations between the two countries.
Consequences for European countries
European countries such as Germany have also expressed interest in the F-35. However, growing trade tensions with the USA, including the threat of new tariffs on European imports, could call these acquisitions into question. Germany, for example, has ordered 35 F-35s and 60 Chinook helicopters from the USA, but the uncertainty surrounding US trade policies could influence these decisions.
Alternative options and strategic considerations
Faced with these uncertainties, Canada and European countries could consider alternatives to the F-35. Canada had previously evaluated the Swedish Saab Gripen E, which offers advantages in terms of cost and local production. Similarly, some European countries may turn to indigenous programs or other partnerships to reduce their dependence on the USA.
The tariff increases imposed by the Trump administration introduce significant variables into the F-35 procurement programs of Canada and European countries. It is essential for these nations to assess the financial and strategic impact of these measures, and to consider alternatives to ensure the effective modernization of their air forces, while preserving their industrial and military sovereignty.
War Wings Daily is an independant magazine.