Donald Trump on Monday criticized Lockheed Martin’s F-35 fighter jet program as too expensive, the latest attack by the US President-elect on large defense contractors.
The aerospace giant’s shares dropped 4 percent after Trump’s tweet, while shares of several other defense contractors also weakened.
“The F-35 program and cost is out of control,” Trump said on Twitter. “Billions of dollars can and will be saved on military (and other) purchases after January 20th.”
Last week, he also used Twitter to target Boeing Co for its “out of control” costs on a new fleet of Air Force One planes, urging the federal government to “Cancel order!”
Lockheed Martin’s F-35 program leader, Jeff Babione, responded by saying the company understands concerns about affordability and has invested millions of dollars to reduce the jet’s price.
Babione said Lockheed’s goal was to reduce the price of the F-35 by 70 percent from its original estimates. “We project it to be about 85 million dollars in the 2019 or 2020 time frame,” he told reporters in Israel.
A week before Trump won the Nov. 8 presidential election, the US Defense Department and Lockheed Martin concluded negotiations on their ninth contract for 90 F-35 fighter jets after 14 months of negotiations, the Pentagon said.
Lockheed won the contract, valued at up to $7.18 billion, in late November and has received an interim payment.
Trump campaigned on a promise to cut waste in federal government.
Lockheed and its key partners, Northrop Grumman Corp, Pratt & Whitney and BAE Systems, are developing and building three variants of the F-35s for the US military and 10 allies including Britain, Australia, Norway, Denmark, the Netherlands, Italy, Turkey, Israel, Japan and South Korea.
نستخدم ملفات الكوكيز لنسهل عليك استخدام مواقعنا الإلكترونية ونكيف المحتوى والإعلانات وفقا لمتطلباتك واحتياجاتك الخاصة، لتوفير ميزات وسائل التواصل الاجتماعية ولتحليل حركة المرور لدينا...اعرف أكثر