Defense & Military
US Air Force Proposes 45% Cut to F-35A Purchases in 2026 Budget
Pentagon budget plan reduces F-35A orders from 44 to 24 jets, citing TR-3 delays and NGAD funding. Congress seeks higher procurement to maintain readiness.
Air Force F-35 Procurement Slashed in Pentagon’s FY2026 Budget Proposal
The U.S. Air Force’s procurement of the F-35A Lightning II is set for a significant reduction in fiscal year 2026, according to a draft budget plan from the Pentagon. The proposed cut, reducing the buy from 44 aircraft in 2025 to 24 in 2026, marks a notable shift in the Air Force’s fighter acquisition strategy. This move has sparked concern among defense analysts, lawmakers, and industry stakeholders, as it could impact national security, industrial base stability, and long-term modernization goals.
The F-35 program, developed by Lockheed Martin, is a cornerstone of U.S. airpower modernization. Designed to replace aging fleets of F-15s and F-16s, the stealth multirole fighter provides advanced capabilities in air superiority, ground attack, and intelligence gathering. However, the proposed reduction, driven by budgetary pressures, delays in the Technology Refresh 3 (TR-3) upgrades, and shifting priorities, raises questions about the future trajectory of the program and the readiness of the Air Force’s tactical fighter fleet.
Budget Realignment and Strategic Trade-Offs
Understanding the Numbers
According to documents reported by Bloomberg News, the Air Force plans to purchase 24 F-35As in FY2026 at a cost of $3.5 billion, with an additional $531 million for advance procurement of materials. This is a sharp decline from the 44 aircraft approved for purchase in 2025. The reduction is attributed to constrained budgets, delays in TR-3 upgrades (enhancing weapons, electronic warfare, and target recognition), and the need to fund other priorities.
The unit cost of an F-35A is approximately $82.5 million in recent contracts. Reduced orders disrupt economies of scale, potentially increasing per-unit costs in future years due to fixed production expenses.
Balancing Present Needs with Future Capabilities
The Air Force has emphasized the need to modernize its fighter fleet to counter emerging threats from near-peer adversaries like China and Russia. The aging inventory of F-15s and F-16s, many nearing the end of their operational lives, underscores this urgency. Air Force leaders, as noted by the Mitchell Institute for Aerospace Studies, state that acquiring at least 72 new fighters annually is essential to maintain operational readiness and reduce the average age of the fleet.
However, the service’s strategy includes investments in next-generation platforms, such as the Next Generation Air Dominance (NGAD) program, which aims to provide air superiority through crewed and uncrewed systems, sensor fusion, and artificial intelligence. The F-35 cut is partly a “billpayer” for NGAD and other programs like the B-21 bomber, according to industry sources. Balancing these future investments with current fleet requirements remains challenging, and analysts warn that cutting F-35 procurement could create capability gaps.
“There’s no way the Air Force or the nation can afford to bring down the fighter buy rate,” said Doug Birkey, Executive Director of the Mitchell Institute for Aerospace Studies. “We need 72 fighters per year just to tread water.”
Congressional Response and Alternative Proposals
The House Appropriations Subcommittee on Defense has advanced a spending bill that would fund 42 F-35As for the Air Force in FY2026, rejecting the Pentagon’s proposed cut. This reflects bipartisan concerns about maintaining fighter readiness and supporting the defense industrial base. Lawmakers have expressed frustration with the administration’s delayed FY2026 budget rollout, which complicates oversight and planning.
Given the F-35 program’s strategic importance and its role in allied interoperability, Congress is likely to push for funding closer to historical norms. President Donald Trump has previously praised the F-35’s capabilities, adding pressure to align the budget with congressional expectations.
Industrial Base and Global Implications
Impact on the Supply Chain
The F-35 program supports a vast industrial ecosystem across the United States and allied nations. A reduction in orders can create instability, affecting jobs, production timelines, and cost control. Lockheed Martin’s stock dropped approximately 6% following news of the proposed cut, though it later partially recovered, as reported by Business Insider.
Doug Birkey noted that inconsistent procurement targets cause “whiplash” within the supply chain, making it difficult for manufacturers to plan long-term investments and retain skilled labor. This unpredictability undermines efforts to maintain a robust defense industrial base, a priority for both the Department of Defense and Congress. Stable production is critical for surging output in response to future conflicts or geopolitical crises.
International Considerations
The F-35 is a multinational program with participation from allies like the United Kingdom, Italy, Australia, and Japan. U.S. procurement decisions directly affect these partners, who rely on program stability for their own acquisition planning and industrial participation. Reductions in U.S. orders could lead to delays or cost increases for allied nations, potentially straining defense relationships and complicating joint operations. The F-35’s interoperability is a key asset in coalition warfare, and disruptions could impact NATO and other alliances, as noted by industry sources.
Globally, air forces are investing in fifth-generation capabilities, and the F-35 remains a benchmark for stealth, sensor fusion, and networked warfare. Ensuring its continued affordability and availability is a shared strategic interest among allies.
Conclusion
The proposed cut to F-35A procurement in FY2026 represents a pivotal moment in U.S. defense planning. Driven by budgetary constraints, TR-3 delays, and investments in next-generation programs, the reduction poses risks to fleet readiness, industrial stability, and international defense cooperation. Congressional efforts to restore funding highlight the program’s importance. Balancing current operational needs with future capabilities will require careful coordination between the Pentagon, Congress, and industry stakeholders.
As the defense landscape evolves, the F-35 remains a critical component of U.S. and allied airpower. Decisions made in the coming months will shape the future of the fighter fleet and military modernization in an increasingly contested global environment.
FAQ
- Why is the Air Force cutting its F-35A purchases?
The reduction is due to budgetary pressures, delays in TR-3 upgrades, and the need to fund next-generation programs like NGAD. - How many F-35As will the Air Force buy in FY2026?
Under the Pentagon’s draft budget, the Air Force plans to buy 24 F-35As, down from 44 in FY2025. - What are the implications for the defense industrial base?
A cut in orders could disrupt the supply chain, increase per-unit costs, and hinder future production scalability.
Sources: Reuters, Reuters, Defense News, Defense News, Air & Space Forces Magazine
Photo Credit: Defense News
Defense & Military
EU Funds SHARP Project for Next-Gen Military Helicopter Engine
The EU allocated €25M to the SHARP consortium, 25 partners from 12 countries developing Europe’s next military helicopter engine by 2040.
The European Commission has allocated approximately €25 million through the European Defence Fund to back a multinational consortium developing the propulsion architecture for Europe’s next generation of military helicopters.
Announced on June 11, 2026, at the ILA Berlin airshow, the Sovereign High-performance Architecture for Rotorcraft Propulsion (SHARP) project brings together 25 partners from 12 European countries. According to a joint press release from Safran Helicopter Engines, MTU Aero Engines, and Avio Aero, the initiative will establish the technological foundation for the European Next Generation Helicopter Engine (ENGHE), which is targeted to enter service in 2040.
Addressing an aging military rotorcraft fleet
The SHARP initiative aligns with broader European defense goals to replace a rapidly aging fleet of military aircraft under the Next Generation Rotorcraft Capability (NGRC) and European Next Generation Rotorcraft Technologies (ENGRT) programs. The current European inventory includes approximately 1,800 transport helicopters and 600 combat helicopters, which currently average 20 years of age. By the 2040s, many of these aircraft will have been in service for over 50 years.
“In light of a continuously aging European fleet of military helicopters the need is obvious: From 2040 onwards, a large proportion of these rotorcraft will have to be replaced,” said Dr. Ottmar Pfänder, Chief Program Officer at MTU Aero Engines. “We joined forces across the continent to underline the importance of this technology program. It will further reinforce European sovereignty and strengthen the European supply chain.”
The funding will be used to develop scalable technological building blocks that can be adapted to various weight classes and mission profiles required by future European armed forces.
Collaborative framework and European sovereignty
The SHARP project builds upon the foundation of the EUropean Military Rotorcraft Engine Alliance (EURA), a 50/50 joint venture established in July 2024 between Safran Helicopter Engines and MTU Aero Engines specifically to develop the ENGHE. The consortium has now expanded to include Avio Aero, broadening the industrial base tasked with designing the new powerplant.
Safran Helicopter Engines CEO Cédric Goubet stated that the funding demonstrates Europe’s commitment to self-reliance and technological sovereignty for future military platforms, thanking the European Union and participating nations for their confidence in the consortium’s capabilities.
“SHARP marks an important milestone in the journey toward Europe’s next-generation rotorcraft engine and reinforces the value of collaboration in developing sovereign, high-performance propulsion technologies,” said Riccardo Procacci, CEO of Avio Aero. “We are proud to partner with EURA on this initiative, contributing within a fully European framework while leveraging Avio Aero’s well-established expertise and know-how.”
EURA CEO Wolfgang Gärtner confirmed that the joint venture is prepared to coordinate the multinational team to provide modern technologies to European forces.
AirPro News analysis
The €25 million European Defence Fund grant represents a critical early step in aligning Europe’s fragmented defense aerospace sector behind a single rotorcraft propulsion program. By formalizing the SHARP consortium now, the European Union is actively working to prevent the development of competing, incompatible national engine programs that have historically complicated European defense procurement and increased long-term maintenance costs. We view the inclusion of Avio Aero alongside the EURA joint venture as a strong indicator that the ENGHE program is successfully consolidating the continent’s primary propulsion manufacturers ahead of the 2040 target.
Sources: Safran Group
Photo Credit: Safran Group
Defense & Military
Boeing MQ-25A Stingray Aboard USS Nimitz at FLEETEX 250
Boeing’s MQ-25A T1 demonstrator appeared on USS Nimitz during FLEETEX 250, weeks after Navy LRIP approval.
The Boeing Company’s MQ-25A Stingray T1 demonstrator drone appeared aboard the USS Nimitz (CVN 68) in the Atlantic Ocean on June 25, 2026, sporting special commemorative markings for the United States’ 250th anniversary. The uncrewed aircraft was photographed alongside Boeing F/A-18E Super Hornets and a Grumman C-2A Greyhound during a multinational group sail event.
The deployment provides a visual representation of the United States Navy’s future carrier air wing as the MQ-25 program transitions into its next production phase. Boeing Defense and the Navy publicly released imagery of the static display on June 29, 2026.
FLEETEX 250 and commemorative display
The T1 prototype was painted in a plain gray livery and featured “250” and “Boeing Backs America” markings. In a statement released on the social media platform X, Boeing Defense noted that the display was intended to honor the nation’s semiquincentennial and offer a glimpse of future carrier operations.
The USS Nimitz hosted the drone during Fleet Exercise (FLEETEX) 250. A Navy spokesperson told TWZ that the exercise involved 25 other warships and aircraft from 13 partner and allied nations conducting structured training events at sea. The spokesperson confirmed the presence of the Boeing-owned T1 prototype on the flight deck.
Aviation analysts at The Aviationist observed that the drone lacked the Cobham Aerial Refueling Store (ARS) pod, which is typically mounted under the left wing for refueling operations. The T1 demonstrator has never taken off from or landed on an aircraft carrier and was transported aboard the USS Nimitz for the exercise. It remains unconfirmed whether the uncrewed aircraft actively participated in any operational drills or if its presence was strictly for static display and photo opportunities.
Program milestones and carrier transitions
The appearance of the T1 demonstrator follows several recent advancements for the MQ-25 program. The Boeing-owned prototype originally flew on September 19, 2019, and previously conducted flight deck handling and remote control system demonstrations aboard the USS George H.W. Bush in December 2021.
On April 25, 2026, the first production-representative MQ-25 completed its maiden flight from Boeing’s facility at MidAmerica Airport in Illinois. The following month, the Navy officially approved the uncrewed tanker program’s transition into Low-Rate Initial Production (LRIP).
The FLEETEX 250 exercise also marked a significant operational transition for the Navy’s legacy aircraft. On June 25, 2026, the Grumman C-2A Greyhound made its final catapult launch and arrested landing from a carrier aboard the USS Nimitz. The C-2A is anticipated to be fully retired later in the year.
AirPro News analysis
The static display aboard the USS Nimitz offers a stark visual contrast between the Navy’s past and its immediate future. Placing the MQ-25A Stingray next to the retiring C-2A Greyhound highlights the physical footprint required to integrate advanced uncrewed assets into the carrier air wing. While the T1 demonstrator’s presence was largely ceremonial for the 250th anniversary, the recent approval for Low-Rate Initial Production indicates that the logistical and operational challenges of deploying uncrewed tankers at sea are moving from theoretical testing to active fleet integration. We expect the focus to shift rapidly toward deck handling and maintenance procedures for the production-representative models in the coming months.
Sources: Boeing Defense
Photo Credit: Boeing
Defense & Military
NATO Expected to Select Saab GlobalEye to Replace AWACS Fleet
NATO is set to announce the Saab GlobalEye as its E-3A Sentry replacement at the July 2026 Ankara summit, bypassing Boeing’s E-7 Wedgetail.
This article summarizes reporting by Reuters by Sabine Siebold and Tim Hepher.
The North Atlantic Treaty Organization (NATO) is preparing to select the Saab GlobalEye to replace its aging fleet of Boeing E-3A Sentry airborne warning and control system (AWACS) aircraft, marking a significant shift toward European defense procurement. The official announcement is expected during the upcoming NATO summit in Ankara, Turkey, scheduled for July 7 and 8, 2026.
According to reporting by Reuters, four sources familiar with the matter indicated that the alliance will pivot away from its previous intention to acquire the Boeing E-7 Wedgetail. The decision represents a major defense contract for Sweden-based Saab AB and a notable setback for The Boeing Company in the airborne early warning and control (AEW&C) market. Neither NATO nor Saab has officially commented on the pending announcement.
Transitioning from the E-3A Sentry
NATO currently operates a fleet of 14 Boeing E-3A Sentry AWACS aircraft. Based at Geilenkirchen Air Base in Germany, these aircraft have been in service since 1982 and are approaching the end of their operational lifespan. The Saab GlobalEye, which completed its first flight in 2018, utilizes a modified Bombardier Global 6000 or 6500 business jet airframe equipped with Saab’s Erieye extended-range radar system.
The Boeing E-7 Wedgetail fallout
The anticipated selection of the GlobalEye follows a series of procurement shifts regarding the Boeing E-7 Wedgetail. NATO had initially planned to purchase six E-7 aircraft to replace the E-3A Sentry fleet. The alliance abandoned this plan in 2025 after the United States Department of Defense (Pentagon) canceled its own procurement of 26 Wedgetails in favor of satellite-based surveillance networks.
U.S. Secretary of Defense Pete Hegseth indicated to Congress in May 2026 that the Pentagon is attempting to reinstate the E-7 into the budget following pressure from U.S. lawmakers. Despite these efforts, international momentum appears to be shifting toward the Swedish manufacturer. On May 27, 2026, Canadian Prime Minister Mark Carney announced that the Government of Canada had entered formal negotiations with Saab as the preferred supplier for its own AEW&C program, bypassing the Boeing platform.
AirPro News analysis
We view NATO’s expected selection of the Saab GlobalEye as a critical indicator of changing procurement dynamics within the alliance. Historically, NATO has relied heavily on U.S.-manufactured heavy surveillance platforms. The shift to a European-integrated system on a Canadian business jet airframe suggests a growing preference for diversified defense supply chains and potentially lower operating costs compared to commercial airliner-based platforms like the E-7. If confirmed at the Ankara summit, this contract will solidify Saab’s position as a primary competitor in the global AEW&C market while placing additional pressure on Boeing’s defense sector to secure international orders for the Wedgetail program.
Sources: Reuters
Photo Credit: Saab