OTTAWA - Canada’s new Prime Minister Mark Carney has ordered a review of the country’s agreement to buy F-35 fighter jets, a new front in the dispute between the two sides in response to tariffs and expansionist rhetoric from President Donald Trump.
Hours after being sworn into office on Friday, the former central banker asked Defence Minister Bill Blair to work with the armed forces and his department “to determine if the F-35 contract, as it stands, is the best investment for Canada, and if there are other options that could better meet Canada’s needs”, a defence ministry spokesperson said by email.
The US$13.2-billion deal for 88 F-35s to replace Canada’s ageing warplane fleet was finalised in 2023, with Lockheed Martin beating out Saab and Boeing in the contest. It is divided into tranches and Canada has made a legal commitment of funds for the first 16 jets.
The deal hasn’t been cancelled, but Canada needs to “make sure that the contract in its current form is in the best interests of Canadians and the Canadian Armed Forces”, the spokesman added.
Blair first made the comments in a televised interview with the Canadian Broadcasting Corp on Friday.
Lockheed Martin did not immediately respond to a request for comment outside of regular working hours.
Canada faces mounting pressure to meet its commitment to spend 2% of gross domestic product on defence amid complaints from Trump about the country’s dependence on the US.
Canada’s deep integration with the US at a time when Trump has levied large tariffs and threatened “economic force” to make the country a 51st US state complicates that goal.
During the leadership race for Canada’s ruling Liberal Party, Carney said that Canada should redirect its military budget instead of relying on the US.
“I will spend defence dollars in Canada, not the 80% that this government has spent in the United States up until now,” he said during a leadership debate in February.
Other countries are also reportedly taking a second look at alternatives to US contractors. Portugal is considering options to replace its existing F-16 fighter jets, with outgoing Defence Minister Nuno Melo citing “the predictability of our allies” and referring to “the recent position of the US in the context of NATO” as considerations, according to a Publico report on Thursday.