The Canadian government is considering canceling its contract with U.S. defense contractor Lockheed Martin in light of the imposed tariffs by the Trump administration, the CBC reported.

In June 2023, Canada signed a $19 billion contract to purchase 88 of the fifth-generation F-35 fighter jets from Lockheed Martin. But the Canadian government is looking for alternatives to their air defense in response to the ongoing tariff war and President Donald Trump’s repeated remarks about making Canada the 51st U.S. state.

Canada has already paid for 16 of the aircraft and is weary about supporting and maintaining a mixed fleet of fighter jets that would require their own unique training, hangers, infrastructure, and supply chain, all of which would increase cost. The first shipment of F-35s is scheduled to be delivered early in 2026.

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