The Canadian government has selected US Lockheed Martin, manufacturer of the F-35 fighter jet, as its preferred bidder in a $19-billion fighter jet procurement project effectively shutting the door on Sweden’s Saab, maker of the Gripen jet.
Canadian newspaper The Globe and The Mail reported quoting anonymous sources that announcement on the selection of Lockheed Martin is expected shortly. This means that Canada will start negotiating with Lockheed Martin on a contract for the combat aircraft.
If negotiations are successful, Canada could start taking delivery of new fighters as early as 2025, the source said. Should negotiations fail, Canada would turn to the second-place bidder: Sweden’s Saab AB which makes the Gripen fighter.
Canada will likely seek offsets, industrial participation and other incentives in exchange for awarding a contract to the preferred bidder.