Donald Trump awards Boeing next-generation fighter jet contract worth $20 billion

US President Donald Trump announced on Friday (March 21) that Boeing has been awarded a major contract to develop the Air Force’s high-tech next-generation F-47 fighter jet under the Next Generation Air Dominance (NGAD) program.

"We've given an order for a lot. We can't tell you the price," Trump told reporters in the Oval Office.

"Our allies are calling constantly," Trump added, saying foreign sales could be an option. "They want to buy them also."

Speaking from the Oval Office, Trump highlighted the competitive selection process, stating, "After a rigorous and thorough competition between some of America's top aerospace companies, the Air Force is going to be awarding the contract for the Next Generation Air Dominance platform to Boeing."

The Next Generation Air Dominance (NGAD) jet will act as the command hub for a fleet of advanced drone aircraft capable of breaching the air defenses of China and other adversaries.

The initial Air Force contract for production is valued at approximately $20 billion.

Trump announced the contract award from the White House, revealing that the new fighter jet will be designated the F-47.

The US Air Force's Next Generation Air Dominance (NGAD) initiative aims to replace Lockheed Martin’s F-22 Raptor with an advanced crewed aircraft designed to operate alongside drones.

The setback adds to Lockheed’s challenges, following its elimination from the Navy’s competition for a next-generation carrier-based stealth fighter.

Gen. David Allvin, Chief of Staff of the Air Force, stated, “We're going to write the next generation of modern aerial warfare with this." Defense Secretary Pete Hegseth added that the future fleet “sends a very clear, direct message to our allies that we're not going anywhere.”

While the Air Force has not disclosed the exact number of aircraft to be produced, Allvin confirmed that more F-47s will be built than the F-22s they are replacing. Currently, around 180 F-22 fighter jets remain in service.

Strategic victory for Boeing

Winning the NGAD contract is a significant turnaround for Boeing, which has faced setbacks in both its commercial and defense sectors. The contract is expected to revitalise the company’s fighter jet production in St. Louis, Missouri and bolster its defense operations.

Boeing's commercial division has faced challenges in restoring full production of its best-selling 737 MAX jet, while its defense sector has been burdened by underperforming contracts for mid-air refueling tankers, drones, and training jets.

Trump’s cost-cutting agenda

The contract announcement comes as Trump accelerates government cost-cutting measures, though some efforts—such as his executive order to dismantle the Department of Education—have sparked legal and political debate.

Despite prior budget concerns that threatened delays to NGAD, Trump’s administration has pushed the program forward. His decision follows Elon Musk’s skepticism about the effectiveness of high-cost crewed fighters.