Lockheed Martin Secures Decade-Long F-35 Production and Sustainment Deal

Lockheed Martin has signed an initial production and sustainment agreement with the U.S. Defense Department to deliver at least 850 F-35 Lightning II fighter jets over the next 10 years. The contract is described as a pre-arranged long-term arrangement rather than a firm order, with the company committing to self-fund at least $7 billion in initiatives that support the program. Under the terms, Lockheed aims to maintain annual production of 156 aircraft and the agreement also covers international orders, spares and modification kits.

The Jerusalem Post

The deal follows a rollout ceremony on December 16, 2025 in Fort Worth, Texas, where Finland’s ordered F-35s were unveiled. The F-35, built with stealth technology, is positioned as the world’s most advanced fighter and forms the core of Lockheed’s aeronautics division, which generates roughly 40 % of the company’s quarterly revenue. President Donald Trump has referred to the Defense Department as the “Department of War,” underscoring the administration’s emphasis on expanding combat-ready capabilities.

The Jerusalem Post

Lockheed estimates the agreement will support 317,000 U.S. jobs and generate nearly $79 billion in annual economic activity throughout the decade.

The Jerusalem Post

The Defense Department announced the partnership in a statement, noting the contractor’s $7 billion self-funded commitment. Under Secretary of Defense Michael Duffey said the agreement “proves” the new approach to industrial-base stabilization. Lockheed’s spokesperson added that, if granted multi-year authority in the coming months, the F-35 Joint Program Office and the company will finalize contract terms, pricing and schedules through a formal award.

The Jerusalem Post

• “We have fundamentally changed how we stabilize the American defense industrial base to produce at speed and scale,” — Under Secretary, of Defense Michael Duffey — Under Secretary of Defense Michael Duffey

The Jerusalem Post