As Belgium replaces its F-16s with the F-35, the debate intensifies over the industrial offsets promised to Belgian companies: assessment, challenges, and criticism.
Summary
In 2018, Belgium decided to replace its F-16 fighter jets with the F-35A in order to modernize its air force while fulfilling its NATO commitments. This choice comes with promises of substantial economic benefits: contracts for Belgian industry, integration into the global supply chain, job creation, and technology transfer. Belgian offset mechanisms require a minimum of 100% industrial compensation for defense acquisitions. However, several observers believe that the reality is still unclear: few public figures are available and industrial benefits are slow to emerge. The article examines the commitments made, what has been achieved to date, specific examples of Belgian companies involved, and the associated strategic issues. Upon analysis, the benefits are real but limited to date and require rigorous monitoring to be fully convincing.
The strategic framework for replacing the F-16
In 2017, Belgium launched a call for tenders to replace its aging fleet of F-16s (an estimated 54 aircraft) in order to cover its defense, nuclear sharing, and interoperability missions within NATO. In October 2018, Brussels officially selected Lockheed Martin’s F-35A after an evaluation phase in which the American aircraft was judged to be the best according to seven criteria, including overall cost, performance, and industrial return. The initial contract is for 34 aircraft, with an option for 11 more, bringing the Belgian fleet to 45 units.
The arguments of interoperability with NATO, access to a “fifth generation” of aircraft, and Belgium’s nuclear mission within the alliance were decisive factors. Industrial benefits were quickly announced as a major factor in justifying the investment and gaining political support. The Belgian Industrial Benefits Program (offsets) requires that each defense contract give rise to direct, semi-direct, or indirect industrial benefits, with a minimum technical and exportable threshold.
Thus, replacing the F-16s with the F-35s is not only a military issue: it is also a bet on Belgian industry, its export capabilities, and its participation in a global value chain.
Offset promises and Belgian commitments
At the time of the announcement, the Belgian government and Lockheed Martin emphasized that an important industrial component was attached to this program. The official F-35 website mentions that Belgium is part of the F-35’s “global enterprise” with direct and indirect industrial partnerships. In October 2025, a specific agreement was signed: Belgium secured a commitment from Pratt & Whitney (F135 engine for the F-35), Safran Aero Boosters, and BMT Aerospace that critical components would be manufactured in Belgium.
Among the commitments:
- Safran Aero Boosters (Wallonia) must establish a new production line for F135 engine components.
- BMT Aerospace (Flanders) is committed to an “innovative manufacturing concept” for engine modules.
- Belgian companies such as Sonaca, SABCA, and ILIAS Solutions are cited as being integrated into the program’s industrialization, maintenance, and logistics chains.
The Belgian government presents this aspect as a strategic investment in industrial sovereignty, the creation of skilled jobs, and the maintenance of high-end aeronautical activities. The Minister of Defense has stated that “the economic return of the F-35 program extends beyond Lockheed Martin.”
Technically, the Belgian offset agreement stipulates that the offsets must generate “new or additional” export flows for national companies: this is a required criterion.
However, the details of the financial commitments and volumes remain largely confidential or have not been published in full. This leaves room for questions about the real extent of the promised benefits.
Observed industrial benefits and specific examples
In concrete terms, a few facts illustrate what has already been achieved:
- The F135 engine agreement signed in October 2025 between Belgium, Pratt & Whitney, Safran, and BMT represents a significant step forward: it is a participation in a central component of the aircraft, which goes beyond simple secondary assembly.
- Sonaca, SABCA, and ILIAS Solutions are mentioned in articles as benefiting from activities related to the production of structures, titanium parts, or logistics software on the F-35 network.
- The fact that Belgium is requesting that additional aircraft be assembled in Europe (at the FACO plant in Cameri, Italy) is directly linked to the desire to maximize industrial benefits.
- Regional distribution: the engine agreement explicitly mentions cooperation between Flanders and Wallonia to ensure territorial balance.
These examples show that Belgian industry is integrated into the global F-35 supply chain and that tangible commitments have been signed.
However, there is currently a lack of transparent public figures on the number of jobs created, the total value of contracts for Belgian industry, and the proportion achieved in relation to the initial promises. No credible source seems to indicate that the benefits have already reached their maximum or that the total returns exceed the amount invested.
Therefore, if there are real benefits, they are still in the early stages, which tempers enthusiasm.
Critical assessment: is it positive in the end?
To make a fair judgment, it is necessary to weigh the positive aspects and the cons.
Positive points:
- Belgian industry is securing high value-added contracts (engine components, structural parts, logistics software): this means increased expertise, integration into a global production chain, and export opportunities.
- The Belgian offset system is among the most demanding in Europe (minimum 100% compensation); this rigor pushes the government to negotiate industrial returns.
- European industrial integration (via Cameri, etc.) is favorable to Belgium in avoiding exclusive capture by the United States and promoting synergies with other countries.
- The Flanders/Wallonia regional agreement demonstrates a desire for balanced distribution, which is a political and social asset.
Points of reservation:
- The maturation period is long: promising spin-offs have only recently been signed (2025) and many contracts remain to be executed. Full industrial return will take years.
- The overall cost of the program is very high. Even if the unit price of the aircraft is not necessarily disproportionate, the costs of support, infrastructure, ammunition, training, and life cycle remain heavy to bear. The economic benefit must be compared to this aggregate.
- Limited transparency: without clear public data on the amounts actually spent in Belgian industry, it is difficult to confirm that the promises are being fully kept.
- Industrial strategy and sovereignty: some criticize the fact that, despite the offsets, dependence on the United States remains high (maintenance, parts, software) and that this limits Belgium’s full industrial autonomy.
Conclusion of the assessment: based on the available information, the outcome is positive but mixed. The industrial benefits are real and promising, but they have not yet been fully realized. It is too early to say that all the promises have been kept. The objective will be to monitor the execution of contracts, the creation of sustainable jobs, Belgian exports, and the maintenance of the national industrial effort related to this program.
Strategic issues associated with the benefits
Beyond the economy, industrial benefits present major strategic challenges for Belgium.
Firstly, there is the issue of technological sovereignty: by obtaining contracts to produce critical components (F135 engine, structural parts), Belgium is strengthening its ability to participate in defense decision-making and operational chains. Secondly, participation in a major international program such as the F-35 allows Belgian industry to gain export visibility: being a supplier in this chain improves credibility for other markets.
Thirdly, there is the dimension of NATO interoperability and integration: by adopting the F-35, Belgium is aligning itself with a standard that is widely used among its allies, thereby strengthening its strategic position. The industrial benefits play a supporting role in this strategic posture.
Fourthly, regional and national coordination (Flanders/Wallonia) around these benefits is a factor in internal cohesion. The contracts signed explicitly mention this balance.
Finally, European strategy is also at stake: some European manufacturers and states criticize the choice of the F-35 over a European solution. The debate on integration into the Future Combat Air System (FCAS) program is one example. Belgian industrial benefits can therefore also be seen as a gamble on Belgium’s position between the United States, NATO, and the European defense industry.
Risks to watch out for and conditions for success
For industrial benefits to be fully effective, several conditions must be met.
- Contract execution: Belgian companies must transform commitments into actual production, meet deadlines and quality standards, and ensure competitiveness.
- Long-term life cycle: the aircraft will gradually enter service and remain active for several decades. Maintenance, software updates, and spare parts represent a potentially significant market; Belgium must be part of it.
- Exportability: the generation of new Belgian export flows (as required by offsets) depends on the ability to also sell derivative products or services to countries other than Belgium.
- Innovation and skills development: for the benefits to be sustainable, the national industry must integrate cutting-edge technologies (additive manufacturing, composite materials, embedded software) and not just low value-added parts. The agreement on additive manufacturing for the F135 engine is a good example of this.
- Industrial and strategic consistency: Belgium will have to avoid becoming dependent on a single customer (the United States) while maintaining its European participation. The debate on the FCAS is proof of this.
- Cost control: the benefits must not mask the excessive overall cost of the program for Belgian taxpayers. If the industrial return is significant but the military costs are disproportionate, the economic balance may remain fragile.
Outlook and conclusion
Belgium’s decision to replace the F-16s with the F-35 has an industrial and economic component that deserves attention. The industrial benefits for Belgium are concrete and promising, with recent agreements allowing national companies to work on strategic components (engines, structures, software). This strengthens the industrial fabric, creates export opportunities, and improves the country’s technological position.
However, these gains should not obscure the fact that the program remains costly, that not all the benefits have yet materialized, and that technological dependence on the United States remains a factor of vulnerability. For the overall outcome to be truly positive, Belgium will have to rigorously monitor the fulfillment of industrial commitments, encourage exports, and ensure that military costs do not overshadow the economic benefits.
Ultimately, the offset linked to the purchase of the F-35 is a real opportunity for Belgian industry—but the gamble has not yet been completely won. Monitoring, transparency, and long-term commitment will be the keys to its success.
Sources:
- Belgium – F-35 Lightning II (Lockheed Martin official website)
- Aviation24.be – Belgian industry to produce key components for F-35 fighter jet engine
- AeroTime – Belgium signs F-35 engine deal with Safran and Pratt & Whitney
- ArmyRecognition – Why Belgium’s first F-35 stealth fighter jets mark the start of a new era for the country
- Wikipedia – Offset agreement; Replacement of Belgian F-16s
Live a unique fighter jet experience