Lockheed Martin Secures $1.14 Billion Contract Boost for F-35 Production

Lockheed Martin has received a significant $1.14 billion contract modification to support ongoing production of F-35 fighter jets for the U.S. military and international customers. Announced by the U.S. Department of War, the updated agreement expands a previously awarded fixed-price incentive contract and ensures continued procurement of essential long-lead materials, components, and parts required for the next phases of F-35 manufacturing.

The new funding covers materials for 65 Lot 20 F-35 aircraft and adds procurement scope for an additional 133 Lot 21 aircraft. These jets will be produced for the U.S. Air Force, Navy, and Marine Corps, as well as for partner nations participating in the F-35 cooperative program and approved Foreign Military Sales (FMS) customers. The expansion highlights the sustained global demand for the fifth-generation stealth aircraft, known for its advanced sensors, combat capabilities, and interoperability.

According to the Department of War, production work under this contract will be distributed across several key locations. The majority—approximately 59%—will take place in Fort Worth, Texas, home to Lockheed Martin’s primary F-35 assembly facility. Additional workshares include El Segundo, California (14%), Warton in the United Kingdom (9%), and Cameri, Italy (4%), reflecting the international partnership structure behind the program.

The contract is scheduled for completion by December 2030 and draws funding from multiple sources. This includes $188 million from fiscal 2026 Air Force aircraft procurement funds, $115.79 million from fiscal 2026 Navy aircraft procurement funds, and $16.23 million from fiscal 2025 Air Force procurement budgets. Further allocations include $38.89 million from fiscal 2025 Navy procurement, $556.6 million from FMS customer contributions, and $225.7 million from cooperative program partner funds. The Naval Air Systems Command in Patuxent River, Maryland, will oversee the contracting activity. The Department of War noted that the contract modification was not competed, in line with prior agreements supporting the F-35 program.

This latest award reinforces the F-35’s role as a central pillar of U.S. and allied air power, ensuring continued production and global readiness well into the next decade.