Boeing and Japan have signed a deal to support the modification of the F-15MJ aircraft for the Japan Air Self Defense Force. The award has been offered by the Air Force Life Cycle Management Center, Wright-Patterson Air Force Base, OH. Valued at US$471.3 million, the contract is expected to be completed by 31 December 2028. Per the deal terms, Boeing will develop, test and deliver four Weapon System Trainers. Work-related to the deal will be executed in St. Louis, MO.
With the rising security threats across the globe, emerging economies like the Asia-Pacific, the Middle East and South America are spending rapidly to enhance their defence arsenals. Contrarily, developed nations like the United States and Europe have already been leading the defence market.
The global military jet market is expanding manifold, with North America leading this space. Boeing, being the largest jet maker in the United States, enjoys a dominant position. The company thus enjoys a frequent flow of contracts for military jets and associated upgrades. The latest contract win is a bright example.
Japan’s Cabinet recently approved a record 5.4 trillion yen (US$47 billion) for its defence budget for fiscal year 2022, marking a record high for eight consecutive years, amidst Japanese concern about its capabilities to meet the threats posed by China, North Korea and Russia. The budget covers a wide field ranging from procurement, upgrades, capability development, research and development and an increase in Japan’s costs of hosting U.S troops in the country. The budget, which will go into effect on 1 April, still needs approval from the Japanese parliament, although that is likely to be a formality given Prime Minister Fumio Kishida’s Liberal Democratic Party and its conservative Komeito Party partner hold a majority in both houses.