The Air Force is planning to spend $2.19 billion over the next five years to acquire new C-37 jets for transporting military and civilian leaders. That’s on top of another $1.17 billion in projected funding for the VC-25B “Air Force One” replacement.
Like other parts of the mobility fleet, many of USAF’s executive airlift jets are decades old and growing less dependable. Given their high-profile, no-fail mission set, the service puts a major effort into keeping the jets flying. But multiple problems have cropped up as of late.
In January, a VC-25A Air Force One jet carrying President Donald Trump was forced to make a U-turn and return to Andrews Air Force Base, Md., because of a “minor electrical issue;” the President then flew overseas in a smaller backup plane. In October 2025, a C-32 carrying Secretary of Defense Pete Hegseth on an overseas trip had to divert to a base in England when its windshield cracked in flight. And the most recent mission capable rates available, from 2024, show the C-37’s availability dipping slightly.
In its 2027 budget request, the Air Force revealed plans for a new program to replace its C-37As and Bs. The C-37 is used to transport military, civilian, and congressional officials around the globe—the “A” model is a modified version of the Gulfstream V, while the “B” model is a G550 variant. Both have an aircrew of five and can carry 20 passengers.
Budget documents show the service is seeking to buy 17 new C-37C jets, based on a to-be-determined commercial aircraft. One of those airframes will be a trainer, the other 16 will replace the existing fleet on a one-for-one basis.
In 2027, the plan is to spend $208 million on the first of those C-37Cs. The five-year spending plan includes nearly $2.2 billion, peaking at $548 million a year from 2029-2031.
Air Force Executive Airlift Fleet
Aircraft | Modified From | Mission | Current Inventory | Average Age |
|---|---|---|---|---|
| VC-25A ‘Air Force One’ | Boeing 747 | Presidential airlift | 2 | 37 |
| C-21A | Learjet | VIP Transport | 19 | 40.5 |
| C-32A ‘Air Force Two’ | Boeing 757-200 | Transport for VP, first spouse, and Cabinet; can be used as Air Force One when President is aboard | 4 | 27 |
| C-37A | Gulfstream V | Executive Airlift for senior military and Pentagon civilians | 9 | 24.47 |
| C-37B | Gulfstream G550 | Executive Airlift for senior military and Pentagon civilians | 7 | 9.57 |
| C-40B | Boeing 737-400 | “Office in the Sky” for Cabinet and members of Congress | 4 | 21.65 |
| C-40C Clipper | Boeing 737-400 | “Office in the Sky” for Cabinet and members of Congress | 7 | 19.76 |
Source: Air & Space Forces Magazine Almanac
Air Force One
In addition to the C-37, the Air Force is still pushing hard to finish the much-delayed VC-25B. The ’27 budget request includes more than $710 million for the program:
- $555 million for engineering and manufacturing development tasks
- $122 million for upgrade kits focused on airborne communications tech
- $34 million for initial spares.
The Air Force is acquiring two VC-25Bs, which are modified Boeing 747-8 Intercontinental jets, to replace “A” model acquired in 1990. Planned upgrades include self-defensive systems, integral airstairs/ground-level boarding, autonomous baggage handling, updated electrical systems, a second auxiliary power unit, and mission communications gear.
The first delivery is currently projected in mid-2028.
Boeing began work to convert two 747-8s to Air Force One requirements in 2020 under a $3.9 billion contract. The service is also buying two additional 747-8s to prepare for any future needs for the aircraft’s presidential transport mission. Qatar gifted the U.S. a fifth 747-8 that will serve as a temporary VC-25B “Bridge” aircraft. Modifications and testing on that aircraft have finished, the Air Force said May 1, and it is expected to start flying this summer.
The Rest of the Fleet
The healthiest jets in the executive fleet appear to be the C-40 and C-32, both of which had mission capable rates of 90 percent in fiscal 2024.
The Air Force is set to bolster the C-40 fleet after receiving $250 million in the 2026 budget to acquire and modify one new jet, based on the Boeing 737-700. The service kicked off its search for a used airliner in February. The “Clipper” can carry between 42 and 111 passengers and serves as an “office in the sky” for the first spouse, government, and military officials.
The C-40’s design service life is 35,000 flying hours with an average of 21,700 remaining, according to budget documents.
Budget documents show that the Air Force is also making low-cost modifications to the satellite communications system on the C-32, also called “Air Force Two.” First delivered in 1998, the C-32 fleet is set to fly through 2038 after the Air Force ditched plans to replace the six aircraft.