Bombardier has won a trade dispute in the United States, overturning a decision to impose tariffs on imports of its C-Series aircraft.
In September, the US Commerce Department backed a challenge from Boeing against Bombardier, and recommended a 219.63% tariff on the delivery of each airliner. Boeing had complained Bombardier got unfair state subsidies from the UK and Canada, helping it win a major order.
Bombardier appealed and on Friday, the US International Trade Commission (ITC) voted unanimously against Boeing in favour of Bombardier.
A statement from Bombardier said: “Today’s decision is a victory for innovation, competition, and the rule of law. It is also a victory for US airlines and the US travelling public. The C-Series is the most innovative and efficient new aircraft in a generation. Its development and production represent thousands of jobs in the United States, Canada, and the United Kingdom. We are extremely proud of our employees, investors and suppliers who have worked together to bring this remarkable aircraft to the market. With this matter behind us, we are moving full speed ahead with finalising our partnership with Airbus. Integration planning is going well and we look forward to delivering the C-Series to the US market so that US airlines and the US flying public can enjoy the many benefits of this remarkable aircraft.”
A Boeing spokesperson commented: “We are disappointed that the International Trade Commission did not recognise the harm that Boeing has suffered from the billions of dollars in illegal government subsidies that the Department of Commerce found Bombardier received and used to dump aircraft in the US small single-aisle airplane market. Those violations have harmed the US aerospace industry, and we are feeling the effects of those unfair business practices in the market every day.
“While we disagree with the ITC’s conclusion today, we will review the Commission’s more detailed opinions in full as they are released in the coming days.
“Boeing remains confident in the facts of our case and will continue to document any harm to Boeing and our extensive US supply chain that results from illegal subsidies and dumped pricing…Global trade only works if everyone adheres to the rules we have all agreed to. That’s a belief we will continue to defend.”
ADS Chief Executive Paul Everitt said: “This judgement from the US International Trade Commission is positive news that will be warmly welcomed by Bombardier, its workforce in Belfast and the whole supply chain of companies in the UK and Ireland.
“Aerospace is a competitive and growing sector, and it is important that customers should be given access to the best technology and the most innovative products.
“It is great to see the Commission has upheld the evidence put forward by Bombardier and by Governments in the UK and Canada. We look forward to examining the details of the judgement when they are made available to understand its full implications.”