2025 might be remembered as the year with possibly the most armed conflicts globally since the Second World War. In 2025, wars raged across four continents: Europe, Asia, Africa, and Latin America.
The Russia-Ukraine War is about to enter its fifth year. Israel continues with its attacks on Lebanon and Syria. Also, for the first time, Israel attacked Qatar and Iran. The US also attacked Iran for the first time.
India and Pakistan clashed in the biggest aerial battle since the 1971 war. Cambodia and Thailand were engaged in two brief but intense clashes. Pakistan and Afghanistan have also been engaged in fierce border skirmishes, with Islamabad launching multiple air strikes inside the war-ravaged country.
In Africa, civil war raged in multiple countries, including Sudan, Libya, Somalia, Nigeria, and Mali.
And, as the year drew to a close, the US launched air strikes on Venezuela’s alleged drug boats and against ISIS targets in Nigeria. Meanwhile, Saudi Arabia launched an air strike in Yemen, targeting its strategic ally, the UAE.
Amid rising conflicts, almost all countries are increasing their defense budgets, and aerial power is a key component of this expansion. The year witnessed multiple fighter jet deals and massive investments in future fighter jet development programs.
However, the benefits of this boom did not trickle down uniformly to all aerospace companies.
Boeing and Saab appear to be the biggest winners of 2025. The US’s NGAD (F-47) and GCAP forged ahead as the Future Combat Air System (FCAS) faltered.
2025 might also be remembered as the year when the Chinese aerospace industry finally established itself as a serious and credible player on the global stage. While international orders for Chinese fighter jets are still hard to come by, this could change dramatically in the coming years.
2025 Winners: Boeing & SAAB
Boeing emerged as the undisputed winner in key fighter jet-related developments in 2025, marking a dramatic turnaround for its defense business after years of losses in major stealth fighter competitions.
Boeing lost to Lockheed Martin in the 1990s in the Advanced Tactical Fighter program, which led to the F-22 Raptor as the premier air superiority fighter.
In the early 2000s, Boeing once again lost to Lockheed Martin in the Joint Strike Fighter program. Lockheed’s X-35 beat Boeing’s X-32 in the demonstrator phase, securing the massive, multi-role stealth fighter contract that has dominated U.S. and allied production for decades.
Lockheed has already delivered over 1,200 F-35s and is set to receive orders for thousands more aircraft in the coming years.
Similarly, in 2015, Boeing lost to Northrop Grumman in the Long Range Strike Bomber (LRS-B) program, which led to the development of the B-21 Raider.
These back-to-back losses in stealth fighter jet/bomber programs raised existential questions about Boeing’s future in the combat aircraft business.
In March, President Trump announced Boeing as the winner of the U.S. Air Force’s sixth-generation fighter program (the F-47), beating Lockheed Martin in a head-to-head competition.
The development contract alone is valued at approximately US$20 billion, and the lifetime value of the contract could run into hundreds of billions for production. The US Air Force is expected to order at least 185 F-47 fighter jets.
More importantly, it marks Boeing’s entry into the stealth fighter jet program.
Recently, the Pentagon awarded Boeing an $8.6 billion contract for 25 new F-15IA fighters (an advanced variant of the F-15EX) for the Israeli Air Force, with an option for another 25.
Saab Returns To Fighter Jet Market In Style
Another unlikely winner of 2025 was Saab.
After struggling for years to sell its flagship aircraft, Gripen, the company won deals for the fighter jet from Thailand and Colombia.
In August, Thailand approved the purchase of four Gripen E/F jets for US$600 million. In November, Saab received an order for 17 Gripen E/F fighter aircraft from the Colombian government, valued at around US$ 3.6 billion.
In October, Ukraine and Sweden signed a letter of intent (LOI) to purchase up to 150 Gripen-E fighter jets. Reportedly, Saab is also considering joint production of the aircraft in Ukraine.
Canada is also exploring the purchase of the Gripen E as it reconsiders the F-35 amid tensions with the US.
These back-to-back Gripen deals came after a nearly decade-long dry spell following the 2014 deal with Brazil.
More importantly, 2025 also saw the first combat use of Gripen fighter jets, when the Royal Thai Air Force (RTAF) employed Gripens to conduct precision airstrikes against Cambodian artillery positions.
Saab also received approval from the Swedish Defence Materiel Administration to continue concept studies for next-generation fighter systems.
“Saab has received an order from the Swedish Defence Materiel Administration (FMV) regarding continued conceptual studies for future fighter systems. The order value amounts to approximately SEK 2.6 billion (US$280 million). The contract period is 2025-2027,” Saab said in a statement.
In addition, France ordered two of the company’s GlobalEye early warning and control aircraft.
Overall, Saab had a fantastic year, and its fighter jets are back in focus after a decade-long dry spell. However, Lockheed Martin and Dassault had a pretty average year.
Lockheed Martin & Dassault: A Tough Year
Lockheed Martin experienced a mixed year in 2025 for its fighter jet portfolio. The company faced significant setbacks, including a major contract loss, ongoing controversies, maintenance criticisms, and order adjustments.
Together, these issues challenged Lockheed’s reputation and eroded its near-total dominance in stealth fighter jets.
In March, Lockheed lost the U.S. Air Force’s sixth-generation fighter contract (F-47) to Boeing, ending its winning streak in stealth fighter jet programs, such as the F-22 and F-35.
Throughout the year, the company faced rumours and debates about a potential backdoor “kill-switch” controlled by the US, raising concerns among international partners.
The Pentagon repeatedly denied these rumours; however, speculation persisted.
The company also faced a slew of order cancellations. Switzerland reduced its F-35A order size from 36 aircraft, citing cost overruns.
Meanwhile, Canada ordered a review of its F-35 deal and remains non-committal. Similarly, Portugal has sent mixed signals, actively debating its next fighter jet choice.
Furthermore, a Pentagon watchdog report blamed Lockheed for F-35 maintenance failures. The report said that the F-35 availability rates are low, hovering around 50%, significantly below the Pentagon’s target.
Overall, the company had a forgetful year, at least in the fighter jet domain.
Similarly, Dassault had a mixed year. The company started the year on a high, winning an order for 26 Rafale M fighter jets from India.
However, the company also suffered the first Rafale loss, when the Indian Air Force (IAF) lost a Rafale jet at high altitude due to a technical glitch during India’s brief four-day war with Pakistan in May this year.
Pakistan claimed that it shot down three IAF Rafales during the conflict. Though Islamabad provided no evidence, China tried to capitalize on these rumours, spreading fake videos and images of Rafale shootdown and organizing a coordinated campaign against Rafale jets to promote its own J-10CE fighter jets over the Rafale.
This was the first loss of a Rafale fighter jet during active combat.
Despite the Rafale loss, Ukraine signed a letter of intent (LoI) to acquire up to 100 Dassault Rafale jets over the next 10 years as Kyiv seeks to strengthen its defences against Russia’s invasion. It also gave a good PR boost to Dassault jets.
Meanwhile, Dassault also faced a deadlock in the Future Combat Air System (FCAS) program amid a conflict with Germany over industrial leadership, workshare, intellectual property (IP) control, and the project’s fundamental structure, threatening the program’s viability.
