Turkey and the United States share a defense relationship that is simultaneously one of NATO's most productive and most complicated. Turkey operates the second-largest military in NATO, hosts the Incirlik Air Base, and participates in dozens of joint programs. At the same time, Turkey's 2019 purchase of the Russian S-400 air defense system led to its removal from the F-35 program and the imposition of CAATSA sanctions — a rupture that has not been fully repaired.

The most significant Turkey-side defense transaction of 2026 is the ROKETSAN acquisition of ASSAN Group defense assets for approximately $471 million, announced in Q2 2026. ROKETSAN — Turkey's leading missile and rocket systems manufacturer — is consolidating domestic defense industrial capacity as part of Turkey's broader strategy to reduce dependence on foreign defense suppliers, including U.S. suppliers.

Implications for U.S. defense companies:

• Turkish defense consolidation reduces the addressable market for U.S. component suppliers in certain categories
• ROKETSAN's expanded capacity may create new export competition in third markets where U.S. and Turkish defense products overlap
• U.S. export control requirements (EAR, ITAR) continue to apply to any U.S.-origin technology incorporated in Turkish defense systems

Turkey was removed from the F-35 Joint Strike Fighter program in July 2019 following its acquisition of the Russian S-400 Triumf air defense system. As of mid-2026:

• Turkey has not returned to the F-35 program
• Discussions regarding alternative arrangements (F-16 upgrades, potential F-35 re-entry conditions) continue at the diplomatic level
• The U.S. Congress has periodically attached conditions to any F-35 sale to Turkey in defense authorization legislation
• Turkey has accelerated its domestic fighter program (KAAN) as a long-term alternative

Despite the F-35 exclusion, Turkey–U.S. defense trade remains substantial:

• F-16 fleet maintenance and upgrade — Turkey operates one of the world's largest F-16 fleets; U.S. companies supply parts, maintenance, and upgrade packages
• C-130 and C-17 transport aircraft — Turkish Air Force operates U.S.-supplied transport platforms
• Naval systems — ongoing cooperation on frigate programs and submarine-related technology
• Ammunition and ordnance — bilateral supply arrangements under NATO frameworks
• Cybersecurity and electronic warfare — growing cooperation area

All U.S.-origin defense technology exported to Turkey is subject to:

• International Traffic in Arms Regulations (ITAR) — State Department jurisdiction for defense articles and services
• Export Administration Regulations (EAR) — Commerce Department jurisdiction for dual-use items
• End-use monitoring requirements for sensitive items

Turkish defense companies acquiring U.S. technology must maintain compliance with these frameworks, and any re-export or incorporation into third-country systems requires separate U.S. government authorization.

The Countering America's Adversaries Through Sanctions Act (CAATSA) sanctions imposed on Turkey's defense procurement agency (SSB) in December 2020 remain in place as of mid-2026. These sanctions:

• Prohibit U.S. persons from conducting transactions with SSB
• Create secondary sanctions risk for non-U.S. companies transacting with SSB
• Complicate Turkish defense companies' access to U.S. capital markets and banking services

The Turkey–U.S. defense relationship in 2026 is characterized by managed tension: deep operational cooperation within NATO coexisting with unresolved disputes over the S-400, CAATSA sanctions, and the F-35 exclusion. The ROKETSAN consolidation signals Turkey's continued investment in defense industrial autonomy, which will gradually reduce bilateral defense trade volumes in certain categories while potentially creating new cooperation opportunities in others.

This analysis is prepared by ULF New York for informational purposes only and does not constitute legal advice.