Switzerland announced it will reduce its planned purchase of Lockheed Martin F-35 fighter jets from the United States after a price increase of $1.6 billion.
The Swiss government now faces up to 1.3 billion Swiss francs in additional costs, surpassing the original budget of 6 billion francs for 36 aircraft. This development has raised concerns among financial policymakers.
“At its December 12 meeting, the Federal Council determined the next steps for the purchase of the F-35A. It mandates that VBS acquire the maximum possible number of F-35A aircraft within the CHF 6 billion financial framework decided by the electorate,” the government said.
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Defense Minister Martin Pfister stated, “The cabinet concluded that we would need a larger fleet, but the democratic decision is such that we cannot acquire 36 aircraft today.”
The Swiss Federal Council announced on July 2021 the choice of the F-35A as the fighter in the Air2030 competition.
The procurement of new fighters remains controversial in Switzerland, a country with a long-standing policy of neutrality. In October, a majority of Swiss voters indicated willingness to forgo the deal.
Separately, Switzerland is negotiating with the United States to reduce import tariffs from 39% to 15%. Swiss companies have also committed to investing $200 billion in the US over the next five years.
Swiss defense planning indicates a need for 55 to 70 modern fighters for comprehensive air defense. The air force has a fleet of 30 Boeing F/A-18C/D and 15 old F-5 fighter jets in service.
