Canada Cancels F-35 Purchase Due To High Life Cycle Costs

12:00 AM, December 10, 2012
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The Canadian Government has decided to drop the F-35 fighter aircraft contract after the auditor-general report projected life-cycle costs of the aircraft above $30 billion. The operations committee of the federal Cabinet decided to scrap the controversial sole-source program and go back to the drawing board, a ministry official was quoted as saying. This occurred after Chief of the Defence Staff Thomas Lawson, while en route overseas, was called back urgently to appear before the committee, the official added. The latest cancellation could cause a rise in F-35 prices for other buyers, according to reports. The fighter procurement process has been the responsibility of Public Works Minister Rona Ambrose who recently said that air force's original statement of requirements has been set aside and the secretariat overseeing the CF-18 replacement will conduct a full options analysis.

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