Washington Pushes Lisbon to Buy F-35 Fighter Jets as NATO Spending Debate Heats Up
The United States ambassador to Portugal, John Arrigo, has publicly urged Lisbon to replace its ageing fleet of F-16 fighter jets with Lockheed Martin's fifth-generation F-35 stealth aircraft, in a move that underscores Washington's growing pressure...
The United States ambassador to Portugal, John Arrigo, has publicly urged Lisbon to replace its ageing fleet of F-16 fighter jets with Lockheed Martin's fifth-generation F-35 stealth aircraft, in a move that underscores Washington's growing pressure on European NATO allies to dramatically increase defence spending.
Speaking to CNN Portugal on Sunday evening, Arrigo drew on his business background to frame the pitch in competitive terms. "F-35 is the best fighter -- it's a fifth-generation stealth fighter, it'll get them into the Champions League when it comes to the EU," the ambassador said, noting that more than 900 F-35s are already in service or on order across Europe.
The push comes as the Trump administration calls on NATO members to raise defence spending to 5% of GDP by 2035 -- a steep climb for Portugal, which currently sits at around 2%. Portuguese Defence Minister Nuno Melo said in November that the formal selection process for replacement fighters had not yet begun, leaving the field open for competing bids from European manufacturers as well.
Beyond Fighter Jets: The China Question
The ambassador's appearance was not limited to military hardware. Arrigo also addressed Portugal's significant economic ties with China, a relationship that deepened considerably during the 2011-2014 bailout era, when depressed asset prices attracted major Chinese investors to the country.
Today, Chinese capital holds strategic positions across Portugal's economy: China Three Gorges owns 21.4% of energy giant EDP, China State Grid controls 25% of grid operator REN, and Hong Kong-listed Fosun holds 20% of Millennium BCP bank and 85% of insurer Fidelidade.
Arrigo was careful to say Washington was not demanding Portugal choose between the two powers, instead framing the approach as "de-risking" -- ensuring adequate cybersecurity protections and investment screening. However, he noted pointedly that Portugal's partnership with the US would "flourish" if Lisbon exited China's Belt and Road Initiative, which it joined in December 2018. Italy left the programme in 2023.
What It Means for Portugal
The diplomatic pressure arrives at a sensitive moment. Portugal's newly elected president, Antonio Jose Seguro, takes office amid a broader European reckoning over defence spending and strategic autonomy. For a country that has historically punched below its weight on military expenditure, tripling the defence budget would require painful trade-offs -- potentially affecting social spending, infrastructure investment, or tax policy.
For the country's sizeable foreign resident community, the dynamics at play here extend beyond geopolitics. Defence spending decisions shape government budgets. A commitment to 5% of GDP on defence would inevitably redirect resources from other priorities, including housing, healthcare, and the public services that residents -- Portuguese and foreign-born alike -- depend on daily.
The F-35 question also touches on Portugal's industrial ambitions. Arrigo highlighted that 25% of the aircraft's components are manufactured in Europe, suggesting potential supply chain opportunities. Whether Portuguese industry could capture any of that work remains an open question, but one that Lisbon will weigh carefully as it navigates between its oldest alliance and its newer economic partnerships.
