Bombardier Wins Trade Case

January 26, 2018 in News by Editor

Bombardier has won its case before the U.S. International Trade Commission and almost 300 percent duties against its CSeries airliners will not be imposed. Boeing launched the claim saying the CSeries were being dumped on the U.S. market at below market prices in a deal with Delta Airlines fo 75 aircraft, unfairly harming its business. The U.S. Commerce Department agreed and proposed duties of 292 percent on CSeries, essentially barring it from the U.S.  But on Friday, the commission ruled that “100-to-150-seat large civil aircraft from Canada do not injure U.S. industry. Bombardier reacted with a hastily prepared email.

“Today’s decision is a victory for innovation, competition, and the rule of law,” the company said in its statement. “It is also a victory for U.S. airlines and the U.S. traveling public. The C Series is the most innovative and efficient new aircraft in a generation.” Boeing said the CSeries threatened its business and cited poor sales of 737-7 MAX as proof of its claim but at least three of four commissioners on the USITC disagreed. Before the decision, Bombardier said it plans to go through with a partnership with Airbus to build CSeries at an assembly line in Mobile, AL. Airbus agreed to take over the CSeries program after the Commerce Department proposed the duties. It’s not clear what Boeing’s reaction to the ruling, which was not expected by analysts, will be.

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