A U.S. official, along with two other people who are familiar with the decision, said that the Pentagon would select the company this week to design and manufacture the Navy's new stealth fighter. This will be an expensive multi-billion dollar effort to build a jet that is seen as a key part of the U.S. counter-China efforts.

Boeing Co. and Northrop Grumman Corp. are in a competition to manufacture the F/A-XX, also known as the F/A-XX. The Navy will replace its F/A-18E/F Super Hornet aircraft with the new jet, which is based on a carrier. This fleet has been in use since the 1990s.

Defense Secretary Pete Hegseth made the decision to proceed with a choice on Friday, according to the U.S. Official and the other person.

One person said that the U.S. Navy may announce the winner in the competition for the build of its fighter aircraft as early as this week. Sources said that last-minute problems have in the past caused delays to the Navy jet's progress.

The Navy and Pentagon have not responded to multiple requests for comment.

The delays in the F/A-XX program raise broader issues about the future naval aviation, and the role aircraft carriers play when confronting China. Delaying or starving the program of funding could leave the Navy with no modern fighter that can operate from carriers well into the 2030s, and even beyond. This would undermine the ability of the fleet to project its power.

The F/A-XX will feature improved stealth, range, endurance and integration with the Navy's air defense systems on carriers.

Roman Schweizer, an TD Cowen analyst, said that China had been "incredibly ambitious" in developing 6th-generation aircraft, and deploying 5th-generation fighters and bombers. This award, he added, could be viewed to be an important decision for keeping up with the competition.

The program was delayed by a funding dispute between the Pentagon, Congress and Congress in the spring and the summer.

The Pentagon requested $74 million to maintain the program on "minimal funding." In May, it was reported that some Pentagon officials wanted to delay the program up to three-years, citing concerns over engineering and supply chain capability. Congress and the Navy wanted to award a contract. The massive tax-cutting and spending bill signed by the President this summer included $750 million for the F/A-XX. Congress also allocated an additional $1.4billion for F/A XX in fiscal year 2026.

During the long delay, Northrop and Boeing were also questioned about their ability to meet the deadline. Sources said that after Boeing was awarded the contract to build the F-47 jet for the U.S. Air Force in March, defense officials questioned whether Boeing would be able to hire enough engineers for the project. Sources said that they also debated if Northrop could handle the spiraling costs of the Sentinel program to replace the Minuteman III missiles.

Quantity, value, and timeliness for the F/A-XX program are all classified. However, previous contracts, such as the F-35, have been worth billions over the course of their life. The U.S. Navy plans to purchase more than 270 Lockheed Martin Corp F-35C aircraft for its carrier fleet. Lockheed Martin has been ejected earlier this year from the F/A-XX contest.

F/A-18s will remain in service until the 2040s. Reporting by Mike Stone, Washington; editing by Chris Sanders and Lincoln Feast.

(source: Reuters)