Saab has lined up Canadian firms to build, train for and support Gripen E fighters if Ottawa buys them, just as Canada takes its first F-35s and weighs whether to buy the rest.
Saab named three Canadian partners Tuesday to build and support Gripen E fighters if Canada buys the jet, as Ottawa weighs whether to finish its planned purchase of 88 Lockheed Martin F-35s.
The Swedish defense company said in an Oct. 27 statement that IMP would establish a Canadian Gripen final assembly line and handle electrical assembly production and in-service support under a new teaming agreement. CAE and Magellan Aerospace are the other principal partners, and Saab said it is also engaged with other Canadian companies, academic institutions and research organizations. Every piece of the plan depends on Canada choosing the Gripen.
“Together with CAE, IMP and Magellan Aerospace we are prepared to establish a strong Canadian industrial ecosystem around Gripen that delivers operational effect, national sovereignty and lasting industrial and technological benefits,” Saab President and CEO Micael Johansson said in the statement.
Prime Minister Mark Carney will decide whether Canada buys the remaining F-35s and has not said when he will announce it, Defense News reported Wednesday. The outlet said Ottawa is examining the Gripen as an alternative or a complement to the F-35, which means Canada could end up flying two fighter types.
Part of the F-35 order is already locked in. Canada has legally committed funds for its first 16 F-35s, Reuters reported in April, and Defense News confirmed that Canada has paid for those jets.
Saab’s announcement came on the opening day of the two-day Canadian Aerospace Summit in Ottawa. The Aerospace Industries Association of Canada listed Johansson among the speakers.
What Saab Is Offering Canada
Magellan Aerospace said its memorandum of understanding with Saab covers possible Canadian work on aerostructures, composite structures and structural assemblies. That could include complex structural units, composite wing skins and external fuel tanks. The company said the scope and allocation of the work still depend on further agreements and on Canada’s procurement decision.
GE Aerospace and Magellan announced a separate conditional arrangement July 22 covering maintenance, repair and overhaul of the F414-GE-39E engine that powers the Gripen E. GE would provide training and license Magellan, with the engine work planned for Magellan’s facility in Mississauga.
CAE announced its own memorandum with Saab on July 17. The Canadian company described a conditional training network for Gripen pilots and technicians, including simulator operations, technical training and sustainment services.
Saab’s July announcement also envisioned Canadian engineers handling mission-systems design, software development, verification and integration. Sensitive Canadian information and data tied to the North American Aerospace Defense Command, or NORAD, would stay in Canada, the company said.
“CAE has decades of experience contributing to the mission readiness of fighter pilots around the world,” Pascal Grenier, president of CAE Defense & Security, said in Saab’s Oct. 27 announcement.
No price, aircraft quantity, factory site or guaranteed job total for a Canadian Gripen purchase had been made public as of Wednesday. Johansson said in March that a first Canadian Gripen delivery within five years was achievable, AeroTime reported.
Canada’s Stake in the F-35
Canada announced its F-35 agreement on Jan. 9, 2023. Its Future Fighter Capability Project covers 88 F-35A jets plus weapons, equipment, infrastructure, training and software support.
A Department of National Defence briefing dated April 27 put the acquisition budget at 27.7 billion Canadian dollars. That covers the jets, training, support equipment, sustainment setup and services, and fighter squadron facilities at Cold Lake, Alberta, and Bagotville, Quebec.
Canadian industry also has money riding on the U.S.-led program. The same April 27 briefing counted 37 companies with active F-35 contracts, mostly tied to production, and more than 110 that have worked in the program’s supply chain over its history.
The briefing names Magellan Aerospace in Manitoba as an F-35 horizontal-tail assembly supplier. That makes Magellan a supplier to the F-35 and a prospective Gripen partner at the same time. The briefing also lists GasTops in Ontario for engine sensors and Heroux-Devtek in Quebec for landing-gear components.
The same briefing says Carney directed the review in March 2025 while preparations to bring in the F-35 continued. It lists operational needs, NORAD and NATO commitments, industrial benefits, strategic partnerships and alternatives as factors under consideration.
Two Fleets, Competing Arguments
A split purchase has drawn criticism. Richard Shimooka, a senior fellow at the Macdonald-Laurier Institute, made the case against a mixed fleet in a February commentary first published in the National Post.
“Operating two fleets is inefficient and costs far more in personnel and resources than a single one,” Shimooka wrote.
Saab and its partners stress industrial reach instead. David Gossen, president of IMP Aerospace & Defence, said in Saab’s Oct. 27 announcement that IMP sees an opportunity to produce and support aircraft for Gripen customers internationally.
Canada’s defense department has also set out its position on control of the F-35. A January 2026 briefing for the deputy minister says Canada will own and operate its CF-35A aircraft, as Canada designates the F-35A, and control their use. It describes the program’s Global Support Solution as a shared spares and sustainment system and says partner nations, including Canada, help prioritize software updates.
The April 27 briefing rejects claims that the jet has an externally operated disabling mechanism. It states that the United States cannot externally intervene in the aircraft’s electronics.
Lockheed Martin had not published a response to Saab’s announcement in its Canadian news releases as of Wednesday.
First Canadian F-35s Already Delivered
Canada received its first two F-35As at Luke Air Force Base, Arizona, on Oct. 22, and they would remain in the United States for pilot training, AeroTime reported. Department of National Defence spokeswoman Andrée-Anne Poulin gave Oct. 9 and Oct. 22 as the dates the two aircraft were transferred to Canada, according to Defense News.
The April 27 briefing schedules the first eight F-35 deliveries to Luke for 2026-2027 and the first arrival in Canada, at Canadian Forces Base Cold Lake, in 2028. It sets initial operational capability for 2029 and full operational capability for 2033, with the CF-18 Hornet fleet retiring in 2032.
The department’s project page lists broader windows: 2029-2030 for initial operational capability and 2032-2034 for full operational capability.
Key Takeaways
- Saab named IMP, CAE and Magellan Aerospace as Canadian Gripen E partners, contingent on Canada buying the jet.
- Carney will decide whether Canada buys the rest of its planned 88 F-35s and has not said when, Defense News reported.
- Canada has legally committed funds for its first 16 F-35s; its first two jets are at Luke Air Force Base for pilot training.
- No price, quantity, factory site or job total for a Canadian Gripen buy has been made public.
- A Macdonald-Laurier Institute analyst warns two fleets would cost more, while Canadian defense officials say Canada controls its F-35s.