Australia stands to lose $2bn in contacts because the Australian Government and local defence firms are reluctant to supply components for the F-35 programme.

According to Adelaide Now, the reluctance arises out of the Australian Government’s refusal to assist companies seeking to join the joint strike fighter (JSF) global supply chain.

The JSF programme will be funded by the US Air Force and eight US allies who intend to purchase more than 3,000 fighter jets.

Australia plans to purchase about 100 F-35s.

The prime contractor Lockheed wants Australian firms to produce components and materials for the fighter.

The estimated value of the programme’s support contracts is up to $9bn, the website says.