PUBLISHED on August 7, 2025, 4:21 PM EDT – Key Points and Summary – A new Canadian defense review is strongly advising the government to stick with its full purchase of 88 F-35 fighter jets, despite recent political turmoil.
-The recommendation comes after a June Auditor General’s report highlighted “skyrocketing costs” for the program and as the new Prime Minister, Mark Carney, has questioned Canada’s reliance on the U.S. defense industry.
U.S. Air Force Major Kristin “BEO” Wolfe, F-35A Lightning ll Demonstration Team pilot and commander, flies during sunset over Mathers Airport, Calif., Sept. 24th, 2021, at the California Capital Airshow. The team consists of approximately 15 total Airmen to include the pilot and commander, pilot safety officers, superintendent, team chief, maintenance Airmen, aircrew flight equipment specialists, and public affairs personnel. (U.S. Air Force photo by Staff Sgt. Thomas Barley)
-The final decision rests with Carney, who must make the call amidst a low point in U.S.-Canada relations, which now includes new 35% tariffs recently imposed by the Trump administration.
Canadian Defense Officials to Prime Minister: Stick With the Full F-35 Deal
Back in June, Canada’s Auditor General, Karen Hogan, released a report finding that the government’s plan to purchase 88 Lockheed Martin jets was facing numerous problems, including “skyrocketing costs, a shortage of trained pilots, and a lack of critical infrastructure.”
The cost has risen from the originally announced cost of $19 billion to $27.7 billion, the report said. The F-35s were meant to replace Canada’s CF-18 Hornet fleet.
“We found that an important part of the increase in the department’s updated cost estimates of $27.7 billion was caused by global factors, specifically: rising inflation; fluctuations in foreign exchange rates and heightened global demand for munitions,” Hogan wrote, per the CBC report.
“This is a large, multi-year project that requires active and ongoing management of risks and costs to ensure that the CF-35 fleet can be brought into service on time,” Hogan added at the time.
Now, a new defense review has been released, advising Canada to “stick with” the jets.
A New Review on F-35
Reuters reported Thursday that Canadian defense officials have “strongly made the case that Ottawa should stick to a plan to buy 88 Lockheed Martin Corp F-35 fighter jets, rather than splitting the order.” The report cited “two sources familiar with the matter.”
The assessment did not make a formal recommendation, however. The final decision will be made by Prime Minister Mark Carney. The prime minister had called for the review shortly after his election this spring, citing concerns that “Canada was over-reliant on the U.S. defense industry.”
A U.S. Air Force F-35A Lightning II prepares for takeoff at Mountain Home Air Force Base, Idaho, September 22, 2022. The F-35 squadron from Luke Air Force Base, AZ used Mountain Home AFB for the terrain and airspace in order to practice simulated combat scenarios. (U.S. Air Force photo by Senior Airman Cheyenne Bassham)
The Canadians had already committed to buying 16 of the F-35s, and the question was whether they would purchase the remaining aircraft from Boeing or other companies outside the U.S. Doing the latter would likely result in higher costs. One fighter mentioned is the JAS 39 Gripen from Sweden.
“We are committed to procuring what the air force needs, while ensuring economic benefits for Canadians and the responsible use of taxpayer dollars,” Defence Minister David McGuinty said of the full jet order, per Reuters.
Canada’s Choice
Back in May, Newsweek had looked at Canada’s decision about the jets.
“Canada now faces a dilemma: Does Ottawa do away with billions of dollars of investment and all the work to prepare its air force for the U.S.-made F-35s, or does it continue with the planned purchase?,” the Newsweek story said.
“The process to extricate Canada from its F-35 commitments would be complicated, expensive, and impractical, experts broadly say. But the discussions swirling around F-35s may lead Canada away from American airpower in the long term, as European-led programs to produce the upcoming generation of fighter jets gather pace.”
The F-35 deal was agreed upon two years ago, when the two countries were under different leadership, with Joe Biden in the White House and Justin Trudeau still the Prime Minister of Canada. It was long before Trump began musing about Canada becoming the “51st state” of America, although Trump has not been speaking about that recently.
“But the more than two years since the U.S.-Canada agreement was finalized have been turbulent. The return of President Donald Trump to the White House ushered in a moment of collective apprehension from the rest of NATO as he pursued a thaw of relations with the Kremlin, and launched a trade war with its partner in the North American Aerospace Defense Command (NORAD), a binational command vital for monitoring and sounding early alarms at any threats heading for North America,” Newsweek said.
Tariffs Arrive
As threatened, the U.S. imposed tariffs on Canada last week.
“Even as he announced sweeping tariffs for much of the world, Mr. Trump offered Mexico a 90-day reprieve, pending further negotiations. Then for Canada, America’s largest export market, he raised general tariffs to 35 percent from 25 percent,” the New York Times reported. “Even worse for Canada, its new rate went into effect shortly after midnight, while new tariffs against other nations will take effect in a week.”
About the Author: Stephen Silver
Stephen Silver is an award-winning journalist, essayist, and film critic, and contributor to the Philadelphia Inquirer, the Jewish Telegraphic Agency, Broad Street Review, and Splice Today. The co-founder of the Philadelphia Film Critics Circle, Stephen lives in suburban Philadelphia with his wife and two sons. For over a decade, Stephen has authored thousands of articles that focus on politics, national security, technology, and the economy. Follow him on X (formerly Twitter) at @StephenSilver, and subscribe to his Substack newsletter.
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John Anderson
August 10, 2025 at 7:08 pm
The article seems thoughtful, but reflects condescending criticism from “conservative” US pundits, who almost view Canada as vassal state. No Canadian government would survive capitulation to such presumptuous social pressure. Only relevant critique seems to be practical difficulty in operating small numbers of two such different aircraft.
There may thus be a relatively simple solution: Canada should accept the first group of F35 planes, but immediately start negotiations with the UK to swap them for a comparable number of new Eurofighter Typhoons. UK already operates both, so their integration should be simple.
Next, Canada should spend the rest of its fighter budget on a fleet of Gripen (E & F) with the ej230 engine from Rolls-Royce. These are closely related to the twin ej200 engines in the Typhoons, which also have similar Canard airframes, making their integration relatively simple.
Obviously, all should be assembled in Canada, where possible, restoring that sector of their manufacturing industry. To comply with NATO collaboration needs, they should emphasize acquisition of the more robust navalized 2-seater Gripen F variant, even better suited to their corrosive atmosphere. These could even contribute to future allied strike operations from NATO carriers, perhaps using “collaborative wingman drones” from Australia. Pooling limited resources with kindred allies secures our futures.