Canada moves forward with the F-35 plan amid cost review
Canada remains committed to the F-35 fighter program, with government officials indicating a stance of “full steam ahead” while a review of the project’s rising costs continues. Deputy Defence Minister Stefani Beck testified before the House of Commons committee examining the auditor general’s report on the $27.7 billion project, underscoring the government’s current direction and decisions awaiting final guidance from elected leaders.
What “full steam ahead” means in practice
Beck told lawmakers that the arrangements in place for the purchase would stay in effect until government direction changes. “We are full steam ahead, full steam ahead focused on making sure we’ve got the infrastructure, the pilots, the training in place for the arrival of those F-35s,” she said. The statement signals continued commitment to the planned acquisition of 88 fighters, with at least 16 aircraft already funded or reserved through down payments, and an anticipated training pipeline at a U.S. base for pilots and technicians before domestic delivery.
Financial realities and cost drivers
Officials defended the cost increase—from an initial projection of about $19 billion in 2019 to roughly $27.7 billion when completed in 2025—by pointing to changes in the program and outside factors. Some of the rise is attributed to reworked U.S. plans and the need for new hangars and secure facilities at Canadian bases, which have faced delays and higher security standards. A key reminder from witnesses was the impact of foreign exchange: because the jets are purchased in U.S. dollars, even small fluctuations in the exchange rate can materially affect the national price tag, with estimates of about $250 million added or subtracted for each one-cent move in the rate.
Strategic considerations: two fleets, or one?
A pressing question for lawmakers concerns the potential for a mixed fleet, given that Canada’s current CF-18s are slated to remain in service into the early 2030s. The Royal Canadian Air Force (RCAF) will need to manage a transition that may involve more than one fighter type. Lt.-Gen. Jamie Speiser-Blanchet, the RCAF’s new commander, acknowledged the complexity and cost of operating two fleets, noting duplicated infrastructure and training. She did not fully endorse a definitive stance on a mixed fleet, stressing that the air force must balance readiness with budgetary realities.
Geopolitical context and interoperability
Beyond budgeting, officials highlighted the strategic imperative of modernization against near-term threats. Canada’s adversaries, including China and Russia, field advanced fifth-generation fighters and missiles that pose new challenges for continental defense arrangements under NORAD. The testimony framed the F-35 as a crucial enabler for maintaining interoperability with NORAD partners and ensuring a credible deterrent capability as technologies evolve.
What happens next
The government has not signaled a timetable for a final decision, leaving the immediate path uncertain. Prime Minister Mark Carney ordered a review shortly after taking office, with the prospect of altering the size or scope of the purchase. As the committee’s work continues, the public debate will likely focus on the balance between readiness, innovation, and fiscal responsibility—especially in the context of fluctuating exchange rates and evolving defense contracts. The defense ministry emphasizes that the facts are presented transparently to lawmakers, while policy decisions remain in the hands of elected leadership.
Public and expert perspectives
Analysts and former officers have offered divergent views on the value of a mixed fleet versus a single-platform approach. Some argue that operational interoperability and training pipelines matter more than the aircraft type, while others caution about the costs and logistical complexities of running two fighter fleets. The debate reflects broader tensions in defense procurement: ensuring cutting-edge capabilities without compromising fiscal sustainability or alliance commitments.
