As it hunts for new customers for its latest Gripen variant, SAAB is also looking to keep the older customers hooked. The Swedish manufacturer has made a new offer to extend the lease of Gripen fighter jets for the Czech Republic.
In 2004, the Czech Republic leased 12 single-seat and two double-seat Gripen versions. The delivery of all aircraft was concluded by 31 August 2005, when the last two landed at the Caslav Air Base.
This lease was to expire in 2027.
However, Saab has reportedly made a new offer to Czechia, whereby the East European country would be allowed to operate 12 Gripen (as opposed to the current 14) for 16.65 billion crowns (USD 1.68 billion) for lease, service, and training at the current exchange rate, Radio Prague International reported on April 8.
The Czech Ministry of Defense (MoD) reportedly told the local media that the latest offer was enticing and more cost-effective than the previous one. For instance, last year, the ministry estimated that the new lease contract for Gripens would be 30-40% more expensive or perhaps even double what the country currently pays.
The latest offer comes months after the Czech Republic and Sweden signed a joint declaration last year to extend its lease of 14 JAS 39 Gripen combat aircraft beyond 2027. The offer is now reportedly under consideration, and the country will spend another billion crowns on modernizing the Gripens to keep them combat-ready.
Saab earlier hoped to market its new Gripen E/F to the Czech Republic in late 2021. Making a pitch for the latest Gripen variant, a representative for the Swedish firm said in November 2021: “If the East European country decides not to extend the lease for 14 Gripen C/Ds that are set to expire in 2027 (extendable to 2029), the Gripen E/F would be the logical decision.”
Later, in 2022, the Swedish ambassador to the Czech Republic, Fredrik Jörgensen, indicated that it was possible to transfer the leased aircraft to the Czech Republic at virtually zero cost.
Saab stated that as part of the proposal, the 14 leased Gripen C/D jets would be transferred to the Czech Air Force at a nominal or zero cost and undergo modernization, provided that Prague also proceeded to purchase an additional squadron of the Gripen E model.
However, the Czech Republic decided to purchase fifth-generation F-35 Lightning II aircraft over the Gripens because it needed a stealth aircraft to protect against evolving threats. It also helped that several NATO countries had opted for the F-35, which would ensure interoperability.
The F-35 sale was authorized by the US State Department in June 2023 and approved by the Czech Parliament three months later. The delivery of these advanced fighter jets is expected to begin in 2031 and conclude by 2035.
However, with the Gripens’ lease ending in 2027, the Czech government has been conducting discussions with Sweden and Saab to extend the lease at least until 2035, when the F-35A will be able to fully replace the older variants of Gripens.
Besides the Czech Republic, another Eastern European country—Hungary—also operates Gripen-C/D fighters leased from Saab. Saab currently has a contract in place to support Hungary’s Gripen aircraft, and it is prepared to maintain and enhance the Hungarian fighters well beyond 2035.
Additionally, in February 2024, Saab announced that it had inked a deal for four more Gripen Cs for the Hungarian Air Force (HuAF) in addition to the fighters it already operates.
Unlike the Czech Republic, Hungary has not opted to modernize its air force with a fifth-generation combat aircraft.
Nonetheless, the Gripens are currently the workhorse of the Czech Air Force and are frequently dispatched to conduct NATO air policing missions. Additionally, these fighters have been protecting Slovakia’s airspace after the country retired its MiG-29 aircraft early.
Czech officials have noted that the country will focus on modernizing its Gripen aircraft, dispersed operations, and an agile combat deployment strategy to enhance readiness. When the F-35A fighters on order start entering service, the Czech Republic will likely become the only country to operate both aircraft together.
SAAB Gripen-E Looks For A Resurgence
The latest offer from Saab to the Czech Republic comes as the manufacturer is looking for more customers for the Gripen-E aircraft, which has been beaten by the Lockheed Martin F-35 in several aircraft contests worldwide.
For now, it seems poised to exploit the rising suspicions regarding the purchase of the F-35, which stem from fears that Donald Trump could block Canada’s access to software upgrades and hardware parts necessary to keep the aircraft combat-ready.
Earlier this month, unverified reports in local Swedish media stated that the manufacturer was in talks with Canada and Portugal to promote its Gripen-E aircraft.
Canada ordered 88 fifth-generation F-35A fighters from the US in 2023. The first tranche of 16 jets, already paid for, will arrive in the country early next year. However, it is now mulling the possibility of nixing the rest of the purchase. On the other hand, Portugal has reneged on its previous decision to buy the F-35. Both countries have indicated they are looking for European alternatives for their air forces.
With Portugal and Canada reconsidering their commitments to the F-35 program, the Gripen is emerging as a formidable alternative. As previously explained in detail by the EurAsian Times, it offers a blend of advanced technology, cost-effectiveness, and operational flexibility.
Despite being a cutting-edge fighter with state-of-the-art features, the Gripen-E has struggled in the export market. Brazil placed the first order for the aircraft in 2024, but then followed a 10-year lull as countries like Finland, Switzerland, Canada, and the Czech Republic, among others, opted for the F-35 over the Saab Gripen.
While the Gripen was positioned as a cost-effective aircraft with novel technology, European customers opted for stealth and interoperability with other allies within the NATO Alliance.
Finally, the Swedish aircraft got a new lease of life in August 2024 when it defeated the Lockheed Martin F-16 Block 70/72 aircraft to win the Royal Thai Air Force (RTAF) fighter jet contract. It has since been vying for new orders from India, the Philippines, and Colombia.
Earlier this month, Colombia announced that it will purchase the Saab Gripen fighter to replace its aging Israeli Kfir fighter jets. Colombian President Gustavo Petro said the country had signed a Letter of Intent (LoI) with the Swedish government.
While India has yet to set the Multi-Role Fighter Aircraft (MRFA) into motion, the Philippines is poised to place a new order for 20 American F-16s. This was earlier projected as yet another loss for Gripen-E, but observers now predict that the Southeast Asian country could place another order for the Gripen aircraft at a later stage.
While that remains a distant possibility, for now, it is safe to say that Gripen is in a more favorable situation than before.
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