Latest news with #SchoenefeldAirport
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First Post
3 days ago
- Business
- First Post
Trump's tariff war hits US F-35 hard: Spain cancels deal, India declines and Switzerland wavers
Trump's trade war impacts US defence exports, with Spain and Switzerland reconsidering F-35 purchases. Spain opts for European alternatives, while Swiss political resistance grows due to tariffs. Read here read more A Lockheed Martin F-35 fighter jet performs during the International Aerospace Exhibition ILA on the opening day at Schoenefeld Airport in Berlin, Germany June 5, 2024. REUTERS The escalating trade war unleashed by US President Donald Trump is beginning to reverberate through Washington's own defence exports, with America's flagship fighter jet programme, the Lockheed Martin F-35 taking a direct hit. In Europe, Spain has formally shelved plans to buy the US-made stealth fighters, confirming it will now focus on European alternatives, the Eurofighter Typhoon and the Future Combat Air System (FCAS). A defence ministry spokesperson in Madrid said the government had ruled out the F-35 in favour of platforms backed by Airbus, BAE Systems, Leonardo, Dassault Aviation and Indra Sistemas. STORY CONTINUES BELOW THIS AD The move follows Trump's sharp criticism of Spanish Prime Minister Pedro Sánchez for refusing to raise long-term defence spending to 5% of GDP, despite plans to meet NATO's 2% target by 2025. Washington had also threatened Madrid with additional tariffs on Spanish goods. With €6.25 billion initially budgeted for new jets and €10.5 billion in extra defence spending earmarked for European industries, the US aircraft had no political or fiscal space left. Switzerland, meanwhile, is experiencing growing political resistance to its planned purchase of 36 F-35s after Trump imposed punitive 39% tariffs on Swiss exports — the steepest rate among developed nations. The surcharge, which affects luxury watches and Nespresso capsules, has sparked calls in parliament to cancel the order or hold a fresh referendum. Green lawmaker Balthasar Glättli said, 'A country which throws rocks at us in trade shouldn't get a present,' while Social Democrat co-president Cédric Wermuth urged voters to stop the procurement. Even Liberal allies of Swiss President Karin Keller-Sutter have questioned the deal, citing higher-than-expected costs and the 'American tariff shock.' The setback in Bern comes at a time when Lockheed Martin is already under pressure, with the Pentagon cutting its own F-35 purchases for 2026 and shifting funds to rival programmes. The 36 jets earmarked for Switzerland would have represented nearly a third of the company's total deliveries in 2024. India, too, has kept its distance from the F-35 programme. New Delhi has not pursued the American fighter, focusing instead on its indigenous Tejas programme and other procurement options amid friction over Trump's steep tariffs on Indian exports and policy disagreements. STORY CONTINUES BELOW THIS AD With key US allies turning to European-made aircraft or reconsidering existing deals, Trump's tariff strategy intended to pressure trading partners is increasingly undermining one of America's most lucrative defence exports. For Lockheed Martin, the turbulence in Washington's trade relationships is now a direct threat to its order books. Wit inputs from agencies
The Star
5 days ago
- Business
- The Star
Spain shelves plans to buy F-35 fighter jets, El Pais reports
FILE PHOTO: A Lockheed Martin F-35 fighter jet performs during the International Aerospace Exhibition ILA on the opening day at Schoenefeld Airport in Berlin, Germany June 5, 2024. REUTERS/Axel Schmidt/File Photo MADRID (Reuters) -Spain has shelved plans to buy F-35 fighter jets, manufactured by U.S. aerospace giant Lockheed Martin, El Pais newspaper reported on Wednesday, citing unidentified government sources. The government had earmarked 6.25 billion euros ($7.24 billion) in its 2023 budget to buy new fighter jets, El Pais said. But the Spanish government's plan to spend most of the additional 10.5 billion euros for defence this year in Europe made it impossible to acquire U.S.-made fighter jets, the newspaper reported. Spain's Socialist Prime Minister Pedro Sanchez announced plans earlier this year to increase spending on defence to meet the current NATO target of 2% of gross domestic product, and later refused to raise spending to 5% during a summit in June. Sanchez's position was heavily criticized by U.S. President Donald Trump, who threatened to impose additional tariffs o the country's goods Spokespeople for Spain's Defence Ministry and for Lockheed Martin did not immediately respond to requests for comment. ($1 = 0.8634 euros) (Reporting by Inti Landauro; Editing by Andrew Heavens)
The Star
11-07-2025
- Business
- The Star
Germany plans to buy additional 15 F-35 fighter jets, Politico reports
FILE PHOTO: A Lockheed Martin F-35 fighter jet performs during the International Aerospace Exhibition ILA on the opening day at Schoenefeld Airport in Berlin, Germany June 5, 2024. REUTERS/Axel Schmidt/File photo BERLIN (Reuters) -Germany plans to buy 15 additional F-35 fighter jets, Politico reported on Friday citing several people familiar with the matter, a move that would increase the country's planned fleet of the U.S.-made jet to 50. The report comes amid tensions between Germany and France on the joint Franco-German fighter jet FCAS project, after a report earlier this week that France now wants a workshare of 80%. The German defence ministry did not immediately responded to a request for comment from Reuters. German Chancellor Friedrich Merz said on Wednesday that differences remained on the configuration of the project, which has been plagued by delays and infighting over workshare and intellectual property rights. Should France stick to its demand, the resulting differences among project partners would make it unlikely that the project could enter its next phase as scheduled by the end of this year, an industry source told Reuters. (Writing by Friederike Heine; Editing by Lincoln Feast.)
