Merz Acknowledges Tensions with France over €100B FCAS Fighter Jet Project

German Chancellor Friedrich Merz has acknowledged renewed tensions with France over the Future Combat Air System (FCAS), a joint European next-generation fighter jet program slated for operational status by 2040. France reportedly seeks a significantly larger share of the work, raising concerns in Germany about potential dominance by French aerospace firms, particularly Dassault Aviation, over German and Spanish contractors like Airbus and Indra. Merz reaffirmed Germany's commitment to honoring existing agreements with France and Spain and emphasized the importance of the project for European defense, expressing confidence that ongoing discussions will resolve the differences. The disagreements center on the composition of the consortium and workshare distribution, with Merz preparing for further talks with French President Emmanuel Macron during high-level consultations later in July. Despite the challenges, Merz described FCAS as a valuable initiative that Europe needs to replace aging combat aircraft fleets and called for less complex procurement processes and larger production quantities. The program, estimated to cost over €100 billion, also integrates drones alongside the manned fighter jets, highlighting its advanced defense capabilities.