Switzerland Cuts F-35 Jet Order Due to Budget Constraints

Swiss Budget Forces Reduction in F-35 Jet Purchase
Switzerland Cuts F-35 Jet Order Due to Budget Constraints
Ossobe
Updated on
2 min read

Switzerland has announced it will purchase fewer than the 36 F-35A fighter jets it originally planned to buy from the United States, citing significant cost overruns that exceed its voter-approved budget. The Swiss government stated on Friday that it has instructed the defense ministry to procure the "maximum possible number" of the stealth jets within the strict financial limit of 6 billion Swiss francs ($7.5 billion). While the exact new number of aircraft is not yet specified, officials confirmed that sticking to the original plan for 36 jets is "not financially feasible" due to unforeseen additional costs imposed by the U.S. side.

Voter-Approved Budget Ceiling

The decision is framed by the Swiss government as a direct response to the democratic will of its people. The 6-billion-franc budget was narrowly approved in a 2020 national referendum, and the Federal Council has ruled out seeking additional funding. Defense Minister Martin Pfister stated that the move "avoids any additional credits and responds to the will of the people". This budget constraint is absolute, forcing a reduction in the number of aircraft rather than an increase in spending.

The "Fixed Price" Guarantee

A central point of conflict is Switzerland's assertion that the jets were to be acquired under a fixed-price arrangement. Swiss authorities have maintained that the original agreement guaranteed a set cost, a claim the U.S. government later disputed as a misunderstanding. American officials pointed to inflation, rising raw material prices, and supply chain disruptions as reasons for the price increase, which reportedly amounts to roughly $610 million to 1.3 billion Swiss francs. The Swiss government stated that summer talks with the U.S. revealed it "could not enforce the contractually agreed fixed price".

Trade Tensions

The defense procurement dispute unfolds against a backdrop of broader trade tensions between Bern and Washington. Earlier in 2025, the U.S. imposed punitive tariffs of up to 39% on Swiss exports. Although the two sides recently negotiated a reduction of those tariffs to 15%, the episode intensified political scrutiny within Switzerland over major defense purchases from the U.S.. Critics have questioned the optics and strategic wisdom of making a multi-billion-dollar payment to Washington amidst a trade dispute.

Fleet Expansion Remains a Goal

Despite the immediate cut, Switzerland's long-term air defense goals are expanding. The government's statement noted that, given the changing security situation in Europe, the armed forces will need between 55 and 70 modern fighter jets in the future, nearly double the original F-35 plan. The door remains open to potentially acquiring additional F-35s later to reach the original target of 36, but any such decision would require new approval from parliament and possibly another public vote. For now, the government has tasked the defense ministry with examining the next steps for air defense modernization independently of the aircraft type. Deliveries of the reduced fleet are still expected to begin in 2027.

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