Lockheed Martin, the prime contractor and manufacturer of the F-35 fifth-generation fighter jet, expects to lose hundreds of millions of dollars in revenue by 2023 because of production problems with the aircraft, which company officials have said will be about 50 short of production targets. That accounts for more than one-third of total F-35 production and exceeds the U.S. Air Force’s annual order of about 48 aircraft a year. Lockheed Martin originally planned to deliver 147 to 153 F-35s to all customers in 2023, but has encountered major problems when trying to implement the upgrade under the Technology Update 3 (TR 3) program. Lockheed Chief Financial Officer Jay Malave said delivery delays would cost the company between $210 million and $350 million. However, he is optimistic that the company can partially compensate by exceeding its 2024 production target.
The fact that production of the F-35 has dropped significantly, while F-35 production is several years behind the target of producing 156 aircraft per year, has been confirmed, and there are growing reports that China has greatly expanded the production of its own fifth-generation fighter jets to more than 120 per year. The J-20 and F-35 are the only fighters of their generation that are producing and fielding squadron-level strength, and lead in many ways in terms of advanced features and sophistication – although the J-20 is a larger twin-engine fighter better suited for long-range missions and air-to-air combat.
The TR-3 program is expected to improve the F-35’s display, computer memory and processing capabilities, and precedes the more ambitious Block 4 standard, which improves the fighter’s electronic warfare capabilities, target recognition and firepower. The Block 4 kit is expected to increase the internal air-to-air missile payload of the F-35A and F-35C variants from four to six missiles, closing the gap on the J-20, which is thought to be able to carry up to eight missiles in its larger weapons bay. The first TR-3 F-35s were expected to enter service early this year, but were delayed until December due to unforeseen issues. The delay is one of a series of problems facing the F-35 program, leading to the jet being heavily criticized by military and civilian leaders. One issue of particular concern starting in early 2022 is the fighter’s underperforming F135 engines, which cost the US fleet tens of billions of dollars in additional operating costs alone and, since most F-35s are built for export, the resulting costs abroad are likely to be much higher.
Christopher C. Miller, the last secretary of defense in Donald Trump’s administration, called the F-35 a “monster” created by the military and the fighter itself “part of …,” while former Senate Armed Services Committee Chairman John McCain called it a “textbook example” of America’s “broken defense acquisition system,” emphasizing in a Senate briefing that “the performance record of the F-35 program is ugly in terms of cost, schedule, and performance.” It’s also tragic.” The jet has been heavily criticized by groups ranging from the Pentagon’s chief weapons tester Michael Gilmore and Marine Corps Capt. Dan Glazer to military think tanks such as the National Security Network and the RAND Corporation, as well as groups such as the Government Oversight Project, which the Pentagon has repeatedly highlighted as unreliable and expensive to operate, which could make it unaffordable in the numbers it originally intended to deploy.
Reports by foreign operators were similarly critical, with South Korea’s National Assembly National Defense Committee revealing in October 2022 that The country’s F-35s were found to be hit hard In the 18 months from January 2021 to June 2022, 234 deficiencies emerged, including 172 “non-flight status” and 62 “inability to perform specific mission status” cases. The 117 non-flight and 45 mission-specific failures that occurred in 2021 show little improvement in the first half of 2022. However, with few other procurement options for the U.S. and its allies due to the lack of other NATO-compatible fifth-generation fighters, older fourth-generation fighters are expected to face a huge disadvantage against the J-20, the upcoming FC-31 fighter for the Chinese Navy, and even the less stealthy Russian Su-57 fifth-generation fighter. Foreign programs have ruled out the option of relying on previous-generation aircraft, leaving the U.S. and its allies no choice but to invest in the F-35 and address its extensive performance and production issues.