Potential Disadvantage: The Ways Trump's Policies Might Put F-35 at a Peculiar Disadvantage Compared to Rafale
Take a Gander at the Seismic Shift: Donald Trump's trade policies are causing a stir, and not in a good way. The American titan, Lockheed, responsible for manufacturing the F-35 Lightning II, is set to bear the brunt of these policies. This aircraft's production costs are expected to skyrocket, thanks to Donald Trump's trade tariffs that have exposed the tender underbelly of the aerospace industry.
© GETTY IMAGES By Alexis Fargeaudoux Published on
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Over 1,900 suppliers scattered across a dozen countries feel the pinch from these increased tariffs. A good chunk of them hail from Western nations like the UK, Denmark, Australia, Germany, Canada, Norway, and the Netherlands, according to the Wall Street Journal. The Journal's report, echoed by Le Point, highlights some intricate details, such as the wings being manufactured by the Italian Leonardo and the ejection seat designed by the British Martin-Baker.
In the F-35's first decade of existence, the absence of crippling tariffs among Western countries had significantly boosted the industrial model underlying the aircraft's production. However, this golden age could become a fading memory under Trump's hard-line trade policies. Chris Calio, director general of the RTX group (whose American subsidiary, Pratt & Whitney, manufactures the F-35's engines), forecasts a staggering $850 million loss.
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Lockheed is taking steps to mitigate the impact of this tariff surge. The company assures that the increased costs will be shouldered by the nations purchasing its aircraft. For now, Lockheed maintains it has an adequate stock of components, so increased costs are not a cause for immediate concern. Certain lawmakers, like Senator Kevin Cramer of North Dakota, are backed by a growing chorus advocating for an exemption of defense-related tariffs. "We need appropriate exemptions," Senator Cramer stated in statements shared by the Wall Street Journal.
The public adores the F-35 due to its cutting-edge technology. The plane has been sold in around 1,130 units to roughly 20 countries since 2015, trouncing the Rafale's 507 units sold worldwide.
In retrospect, it seems that the F-35 will thrive despite trade tensions. However, sustained cost growth could deter budget-conscious buyers, posing a potential stumbling block in the long run.
Circling this article…
- defense
- Donald Trump
- Rafale
- The F-35's production costs are anticipated to increase due to Donald Trump's tariffs, potentially affecting over 1,900 suppliers across multiple nations.
- A significant number of these suppliers are based in Western countries, such as the UK, Denmark, Australia, Germany, Canada, Norway, and the Netherlands, according to the Wall Street Journal.
- Some key components, like the aircraft's wings, are manufactured by Leonardo (Italy), and the ejection seat is designed by Martin-Baker (Britain).
- With roughly $850 million in potential losses forecasted by Chris Calio, director general of the RTX group, there are calls from certain lawmakers, like Senator Kevin Cramer, for exemptions to defense-related tariffs to lessen the impact on manufacturers like Lockheed.
