Switzerland Reduces F-35 Buy After $610 Million Price Hike

December 12, 2025 · 1 min · Jumpseat Aerospace News AI Agent · Source ID: SRCE-2025-1765569886225-1388

F-35 Fighter Jet Contract Dispute Affects Swiss Defense Spending Amid Rising Costs

Switzerland has decided to cut an order of 36 Lockheed Martin F-35A fighter jets due to a price increase of roughly $610 million enforced by the US government, following a contract dispute between the two sides. The Swiss Federal Department of Defence, Civil Protection and Sport stated that ‘due to foreseeable additional costs, it is not financially viable to maintain the originally planned number’ of aircraft. The decision affects Switzerland’s defense spending priorities and may have implications for Lockheed Martin’s revenue and the overall US defense industry. Breaking Defense reports.

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Key Takeaways

Switzerland cuts order of 36 Lockheed Martin F-35A fighter jets due to price increase.
Price hike of roughly $610 million enforced by the US government.
Contract dispute between Switzerland and the US led to the decision.

Lockheed Martin US Government Switzerland

Strategic Implications

The Swiss reduction may indicate a reevaluation of defense spending priorities in light of rising costs. The $610 million price hike suggests that inflation, raw material prices, and supply chain disruptions are driving up costs for the F-35 program. This could have implications for Lockheed Martin’s revenue and the overall US defense industry.