Dassault Aviation and Airbus, which were leading the project on behalf of France and Germany respectively, have been unable to reach an agreement on the division of tasks or patent rights. Spain was involved through Indra, which was responsible for the industrial aspects (sensors and electronics).
Reported by Consejeros Editorial Team
Eight years after its announcement, the development of the sixth-generation European fighter jet, the most ambitious European project in the aerospace sector, has failed. German Chancellor Friedrich Merz and French President Emmanuel Macron have put an end to the Future Combat Air System (FCAS) project due to serious friction between the companies involved.
Dassault Aviation (fighter design) and Airbus (systems and platforms), which were leading the project on behalf of France and Germany respectively, have been unable to reach an agreement on the division of tasks or patent rights, leading to the suspension of the project, in which Spain was also participating through Indra, which was responsible for the industrial part (sensors and electronics).
At a time when efforts are being made to boost Europe’s strategic autonomy in energy supply and security matters, this outcome “casts serious doubt on Europe’s ability to develop multinational defence programmes”, according to Renta 4. In fact, Airbus and seven other German aerospace and defence companies have reportedly proposed an alliance to replace the failed Franco-German fighter jet project, according to a letter sent to Chancellor Merz’s office and Defence Minister Boris Pastorius. The industrial consortium includes Airbus, MBDA, Diehl, MTU, Liebherr, Autoflug, Rohde & Schwarz and Hensoldt. Although they possess all the necessary expertise, the main challenge will be integration. Everything suggests that this aircraft will be larger than the original project with Dassault Aviation, closing the door to external partners such as Saab.
Although it is still too early to gauge the impact on Indra’s figures, Renta 4 estimates that it will be limited, as the company will continue to participate alongside France and Germany in another major project, the “combat cloud”, which connects next-generation aircraft with drones, satellites, ships and other elements, enabling them to act in a coordinated manner. For Divacons analysts, beyond the impact on revenue, “the failure of the European fighter jet eliminates a long-term opportunity for the company to establish itself as a prime contractor on a major European project, although the group’s visibility remains solid in the short and medium term thanks to the Spanish Modernisation programme and the consolidation of TESS Defence, which contributed €8.2 billion to a total defence order book of €11.3 billion at the end of 2025”. Indra’s budget for 2026 is expected to reach around €205 million.
Other companies involved in the project, valued at around €100 billion, included Thales (providing flight systems) and Safran alongside MTU Aero Engines (developing the engine), amongst others.
The FCAS project was scheduled for completion in the 2040s, although the first flight was estimated for 2029. Following its cancellation, Europe has several alternatives, such as joining the UK, Japan and Italy’s programme, reaching agreements with Sweden or Turkey, or acquiring aircraft such as the American F-47.
