USA slaps new 80pc duty on Bombardier

An interior view of a mock-up Bombardier Global 7000 business jet

An interior view of a mock-up Bombardier Global 7000 business jet

The DUP man said: "What I have found most unsettling is the bullish statements that have come both from Boeing and from Wilbur Ross, the (U.S.) commerce secretary".

U.S. authorities and Boeing are accusing Bombardier of "dumping", that is, taking advantage of British and Canadian subsidies to sell below cost its C-Series jet. "We will continue to verify the accuracy of this decision, while do [ing] everything in our power to stand up for American companies and their workers". On Sept. 26, Commerce also announced preliminary countervailing duties to be imposed on these same Canadian aircraft, as part of the Boeing petition.

That said, Boeing employs over 18,000 people in Britain and are building a new factory in England.

He said the government "strongly disagreed " with the U.S. ruling and would "vigorously and robustly defend " the interests of Bombardier.

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Canadian Foreign Affairs Minister Chrystia Freeland said she was "extremely disappointed" in the latest United States decision, vowing to defend the country's aerospace industry against "irresponsible and protectionist trade measures" that also hurt some U.S. workers. More than half of the purchased content of each CSeries aircraft comes from US suppliers, Bombardier has said.

Under worldwide rules, unfair subsidies from governments can take the form of grants, loans, equity injections, tax breaks and production contributions, if they give a company or an industry an unfair competitive advantage over foreign rivals.

The Chicago-based aircraft giant said it welcomes the decision affirming its view that Bombardier sold the CSeries to Delta at prices below production cost to illegally grab market share in the single-aisle airplane market.

The row has called into question the DUP-Conservative deal at Westminster, but it has also cast doubt on the British government's ability to successfully agree a trade deal with the USA post-Brexit.

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"If the ITC doesn't find that this damaged Boeing then this whole thing vanishes like a bad dream", he said in an interview.

Clark said: "We consider this action by Boeing to be totally unjustified to be unwarranted and incompatible with the conduct that we would expect of a company with a long-term business relationship with the United Kingdom".

A Bombardier union said it wasn't surprised by the new duty given the 48 per cent increase in the number of dumping allegations since the Trump administration took office. The investigation was launched following the filing of a petition by Boeing in April, alleging one dumping margin.

The import tariff threatens about 1,000 jobs, out of a total of 4,000 employed by the Canadian company in Northern Ireland.

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The wings for the C-Series jet are made in Northern Ireland and Bombardier has said the model affected by the row is "critical" to its operations there.

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