In a move towards international defence collaboration, Lockheed Martin Corp.'s Aeronautics division in Fort Worth, Texas, has clinched a substantial $622.3m contract.
The agreement entails offering programme management, unique requirements, and training services to facilitate the integration of the government of Germany into the F-35 Joint Strike Fighter programme. With work spread across multiple locations, Lockheed Martin will bolster Germany's involvement in the advanced fighter jet initiative.
Lockheed Martin Aeronautics Co., a division of Lockheed Martin Corp., has emerged as the recipient of the endeavour to usher Germany into the esteemed F-35 Joint Strike Fighter programme as a foreign military sales customer.
According to GlobalData's "The Global Military Fixed Wing Aircraft Market 2023-2033" report, Lockheed Martin Corp is to account for Europe's highest revenue share, $62.8bn, over the forecast period.
This multifaceted support is poised to play a role in facilitating a smooth and efficient integration process for Germany's participation in the F-35 initiative.
Work will be executed across various locations, with the majority (70%) being undertaken at Lockheed Martin's Fort Worth, Texas facility. Orlando, Florida, will account for 15% of the work, while Greenville, South Carolina, will contribute 15% to the project's success.
The F-35/Typhoon announcement was the first major one since the release of plans to drastically increase Germany's budget and launch the special fund for the Bundeswehr. The decision to procure the F-35 from US firm Lockheed Martin will fuel improvements in the US/German relationship, according to GlobalData's "Germany Defense Market 2022-2027" report.
The integration efforts and associated support services are projected to be completed by December 2027. The substantial $622.3m allocated for this contract will be drawn from the foreign military sales customer funds, underscoring the significance and commitment of Germany and the United States to this collaborative venture.
The contract is administered by the Naval Air Systems Command, based in Patuxent River, Maryland, showing this transformative initiative's broad scope and reach.
Lockheed Martin's Q2 2023 report highlighted that their aeronautics segment reported net sales in Q2 2023 increased $1bn, or 17%, compared to the same period in 2022. Lockheed Martin stated the increase was primarily attributable to higher net sales of $735m for the F-35 programme due to higher volume on production contracts.
