BAE, Leonardo, Japan Form Joint Venture for Fighter Jet

BAE Systems, Leonardo, and Japan Aircraft Industrial Enhancement (JAIEC) have formed a joint venture for the Global Combat Air Programme (GCAP), aimed at developing a next-generation fighter jet set to enter service by 2035. Each company will hold a one-third equity stake in the venture, which will be headquartered in London with an Italian CEO, and is expected to be operational by mid-2025. This collaboration follows a trilateral agreement initiated in December 2022 and will serve as the design authority for the aircraft throughout its lifecycle, potentially extending beyond 2070. The joint venture is a response to increasing defense needs amid geopolitical tensions, particularly in light of Russia’s invasion of Ukraine and regional threats from China. The project could also allow for additional partners, such as Saudi Arabia, to join in the future. Leaders from the companies emphasized the importance of collaboration for global security and technological advancement.