Thousands of jobs in Northern Ireland appear to have been saved after Canadian plane maker Bombardier won a legal battle in the United States that has overturned damaging import tariffs on its C-series aircraft. "The USITC ruling means that good paying Bombardier jobs can stay in Canada, as there is no longer a need for C-Series production to move to the U.S".
The trade panel's ruling is "a victory for innovation, competition, and the rule of law", Bombardier, which spent more than $6 billion to develop the C Series, said in a statement.
The firm said it will be reviewing the the Commission's more detailed opinions in the coming days, and will continue to document any perceived harm to its business and its USA supply chain from what it defines as "illegal subsidies".
This allowed Bombardier to sell the planes to Delta at unfairly low prices, which was harmful to Boeing's business, according to the aerospace giant.
The ruling, a victory for Bombardier and its government partners, is the final step in a USA investigation of Bombardier's 100- to 150-seat C Series plane following a petition by Boeing.
"Delta is pleased by the US International Trade Commission's ruling rejecting Boeing's anti-competitive attempt to deny US airlines and the US traveling public access to the state-of-the-art 110-seat CS100 aircraft when Boeing offers no viable alternative", Delta said in a statement. Quebec invested $1 billion in 2016 for a minority stake in the C Series.
In order to uphold the Commerce Department-proposed tariff, the ITC had to find that imports of the C-Series planes would materially hurt Boeing.
Boeing vowed to continue to document the damage from "illegal subsidies and dumped pricing".
Planemaker Bombardier Inc (BBDb.TO) is expected to lose a hotly contested USA trade dispute this week, a Canadian government source told Reuters on Thursday, likely inflaming tensions between the two countries as they try to bridge differences in talks to modernize NAFTA. "We are full-speed ahead", Bombardier tells FlightGlobal.
Boeing had complained of an unleveled playing field since Bombardier is subsidized by the Canadian government. "It is also a victory for USA airlines and the U.S. travelling public", Bombardier said. "The only way to counter the risk created by Boeing's petition is through a new USA final assembly line".
Some of Delta's USA peers could be tempted to take a look at the C Series now that the prospect of duties no longer exists. The US administration had threatened to impose duties of 292 per cent on imports of Bombardier's CSeries aircraft.
The airline has not taken delivery of the C Series jets yet, so it had not been subjected to the tariffs.
"Today is a huge victory for one of Canada's most important industries and as a Bombardier employee I'm absolutely thrilled and dumbfounded that this decision actually came down".
A big ruling today concerning Bombardier, the Canadian airplane maker that's looking to partner with Airbus and build a new production line in Mobile.
But the case, centred on a complaint by aerospace rival Boeing, was dismissed.