DefenseRTX has secured a $3.8 billion contract for the production of Pratt & Whitney F135 engines that power the F-35 fighter, under an award issued by the U.S. Naval Air Systems Command.
The agreement finalizes terms for Lot 18 aircraft and includes advance procurement for Lot 19, converting a previously undefinitized contract into a formal production arrangement while expanding its scope.
The contract, valued at $3.81 billion, covers propulsion systems for all F-35 variants operated by the U.S. Air Force, Navy and Marine Corps, as well as partner nations and Foreign Military Sales customers. The F135 remains the sole engine used across the entire fleet.
The structure combines cost-plus-incentive-fee and fixed-price incentive elements, a format commonly used in complex defense programs to balance cost discipline with performance targets.
Resources come from U.S. fiscal 2024 and 2025 procurement budgets, partner countries and export customers. More than $1.46 billion of the total is tied to Foreign Military Sales, underscoring continued demand outside the United States.
Production will take place across several locations in the United States, including Connecticut, Indiana, Washington, Maine and California, as well as additional sites domestically and abroad. East Hartford, Connecticut, accounts for the largest share of work, at 17%, as the main manufacturing hub for the engine.
The geographic distribution of production spreads industrial activity across a wide supplier base and reduces exposure to localized disruptions, an issue that has gained relevance in recent years.
The contract is aligned with F-35 production schedules, with completion expected by March 2028. The Pentagon aims to maintain a steady output rate as the program moves into sustained production, where engine availability directly affects aircraft deliveries.
About $430.8 million in obligated funds is set to expire at the end of the current fiscal year, placing pressure on execution timelines.
The award was issued on a non-competitive basis, since Pratt & Whitney is the sole supplier of the F-35’s engine. While this simplifies integration and logistics across the fleet, it also concentrates dependency on a single propulsion system.
