A second chance: Saab regains footing as fighter procurement is paused

Peru has paused its planned procurement of new fighter aircraft, reopening the competition and giving Saab and other European suppliers renewed prospects in the programme.

The country’s interim government has decided to postpone a final decision until after the change of government this summer. According to Bloomberg, the delay could allow Saab and other European manufacturers to re-engage in the tender.

- Since my government is a transitional administration and our mandate ends in July, I believe this is a matter we should consider internally for now, but ultimately leave a decision of this magnitude to the next government, President José María Balcázar told Exitosa.

Several media outlets report that Peru had been close to an agreement with the United States to procure Lockheed Martin’s F-16 fighter aircraft as part of efforts to modernise its air force.

Peruvian journalist Paolo Benza published a letter on X, reportedly sent by Lars Tossman, head of Saab Aeronautics, to Peru’s minister of defence, Carlos Díaz Dañino.

US sharpens response

The letter, dated 10 April, criticises the handling of the procurement process. It states that Saab, despite being one of three shortlisted bidders, was not invited to submit a “best and final offer”. 

It adds that, unless such a request is issued within two working days, the company will formally withdraw from the competition.

EFN contacted Saab, which declined to confirm the authenticity of the letter and said it does not comment on ongoing customer dialogue.

- Saab remains focused on offering Peru the most cost-effective fighter solution, Gripen. We are following the process and remain confident that Gripen meets Peru’s requirements, said press officer Mattias Rådström in a statement to EFN.

Saab also signalled its willingness to continue dialogue with Peru.

According to Peruvian and Spanish media, Peru had been expected to sign the F-16 agreement on 17 April. Following the reversal, US ambassador Bernie Navarro issued a strongly worded response.

- If they negotiate in bad faith with the United States and undermine American interests, you can be sure that I, as a representative of the Trump administration, will use all available tools to protect and promote our country’s and the region’s prosperity and security, he wrote on X.

This article was first published in Defence Nordic's affiliate publication metal-supply.se.