Taiwan finalized a purchase of F-16 fighter jets from US aircraft manufacturer Lockheed Martin on Friday, a source confirmed to AFP, in a $62 billion, 10-year deal almost certain to anger Beijing.

The Pentagon announced the contract without specifying the buyer, but a source familiar with the matter confirmed to AFP that it was Taiwan.

The self-ruled island -- which China considers part of its territory -- last year obtained the green light from Washington for the purchase, which will allow it to modernize its defenses.