US imposing 220% duty on Bombardier planes

The U.S. Commerce Department imposed a 219.63% duty on Bombardier’s CSeries jets.

The U.S. Commerce Department imposed a 219.63% duty on Bombardier’s CSeries planes.

bombadier vs boeing

Irony Alert: Boeing had complained Bombardier got unfair state subsidies from the UK and Canada, helping it win a major order.

Boeing $BA filied a petition in April with the Department of Commerce and the U.S. International Trade Commission alleging that Bombardier is subsidies from Canada and the United Kingdom while Bombardier aggressively sold its C Series jets in the U.S. “at absurdly low prices.”

The case will now be considered by the US International Trade Commission (ITC) in February. 

We strongly disagree with the Commerce Department’s preliminary decision. The magnitude of the proposed duty is absurd and divorced from the reality about the financing of multibillion-dollar aircraft programs. This result underscores what we have been saying for months: the U.S. trade laws were never intended to be used in this manner, and Boeing is seeking to use a skewed process to stifle competition and prevent U.S. airlines and their passengers from benefiting from the C Series.

The simple truth is that Bombardier created a superior aircraft that is more efficient, more comfortable, and quieter. The C Series serves a market segment not supported by any U.S. manufacturer. Delta wants to bring this remarkable new aircraft to the U.S. flying public. Boeing wants to prevent U.S. passengers from realizing these benefits, irrespective of the harm that it would cause to the U.S. aerospace industry and the cost to airlines and consumers.
part of Bombardier’s Statement

 “We won’t do business with a company that is busy trying to sue us and put our aerospace workers out of business,” Prime Minister Justin Trudeau said last Monday during a press conference in Ottawa.

via National Post: A timeline of the commercial dispute between Boeing and Bombardier


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