Jane Edwards 
- Lockheed has committed at least $7 billion of its own funds to the F-35 program
- Annual F-35 output would hold steady at 156 jets
- Congress must still authorize and fund the deal
Lockheed Martin and the Department of War have finalized a 10-year framework agreement to produce and sustain F-35 Lightning II fighter jets.
Lockheed said Thursday it will work with the F-35 Joint Program Office to settle contract terms, pricing and schedules for a formal contract award once multiyear authority and associated appropriations are granted.
What Does the F-35 Framework Agreement Cover?
The agreement sets a minimum of 850 U.S. aircraft over the 10-year period, along with initial spare parts, a decade of modification kits and sustainment support for the global F-35 fleet. It also spans international customer orders across Lots 21 through 30 and maintains production at 156 aircraft per year.
DOW said Lockheed will put at least $7 billion of company funding toward F-35 program efforts under the agreement. The department noted that carrying out the agreement still requires congressional authorization and appropriations.
The framework also calls for integrated analytics that tie budget inputs to readiness outcomes and provide real-time visibility into parts inventory and readiness metrics.
According to Lockheed, the F-35 program is expected to sustain 317,000 U.S. jobs and add about $79 billion to the economy annually for the next 10 years.
What Did Lockheed & DOW Officials Say About the Agreement?
Jim Taiclet, chairman, president and CEO of Lockheed Martin and a two-time Wash100 awardee, said the added certainty from the multiyear approach will enable the company to make upfront investments in capacity, efficiency and supply chain resilience.
“This multiyear framework strengthens the way we can plan and invest in the F-35 enterprise,” Taiclet said. “That’s good for the taxpayer, good for our suppliers and, most importantly, good for the United States and its allies.”
Michael Duffey, under secretary of war for acquisition and sustainment and a 2026 Wash100 honoree, pointed to the agreement as evidence of a shift in how DOW stabilizes the defense industrial base.
“By aligning financial incentives with actual performance, we are ensuring our warfighters are equipped with the lethal capabilities they need to fight and win,” Duffey noted.
How Does the F-35 Framework Build on Earlier DOW-Lockheed Agreements?
The F-35 framework follows a $1.14 billion contract modification Lockheed received in December 2025 to procure long-lead materials, parts and components for 65 Lot 20 and 133 Lot 21 aircraft.
The agreement is the latest in a series of framework deals between DOW and Lockheed. In April, DOW partnered with Boeing and Lockheed to expand seeker production for the Patriot Advanced Capability-3 Missile Segment Enhancement system, supporting a concurrent deal with Lockheed to more than triple PAC-3 MSE all-up round production.
In June, Lockheed received a potential $35 billion contract to increase Terminal High Altitude Area Defense interceptor production from 96 to about 400 interceptors per year. The contract implements a THAAD framework agreement the company signed with the government in January. In August, the Pentagon signed seven-year agreements with General Dynamics and Lockheed covering components for the PAC-3 MSE and THAAD programs.
In September, DOW and Lockheed agreed to scale production of the AIM-260 Joint Advanced Tactical Missile, establishing a framework for future multiyear procurement of the air-to-air missile.
