A USA trade panel has unexpectedly rejected a claim from aerospace giant Boeing Inc. against Montreal-based Bombardier Inc., in one of the most high-profile corporate trade battles to date of the Trump administration.
For Bombardier, and Airbus, Moore said he thinks this means they'll sell a lot of C Series planes in the U.S.
In new documents filed Wednesday, Bombardier said it expects Boeing will likely respond to a loss by filing a new petition once there is a new USA order for the C Series.
A spokesperson for Boeing said it was "disappointed" by the ITC's decision and that it would "review the detailed conclusions when they are released".
The question was over the offer of Bombardier's about 100-situate C Series planes, which Boeing grumbled to the US government were sold to Delta beneath their cost of generation and that the program got illicit sponsorships from Canadian government. Airbus has said it will add an assembly line at its plant in Alabama for the C Series, potentially skirting the tariff.
US companies and workers aren't being harmed by sales of 100- to-150-seat aircraft from Canada, the International Trade Commission said Friday.
Bombardier insisted that Boeing faces no "threat of material injury" from C Series imports.
"This was really an attack on Bombardier under the pretext that the sale to Delta caused harm to Boeing, but Boeing didn't compete for the sale to Delta ... so it was hard for them to prove that they suffered harm when they weren't even on the starting line", he said.
Boeing said in a statement it is disappointed with the decision and that the commission "did not recognize 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 USA small single-aisle airplane market".
Taoiseach Leo Varadkar tweeted: "Very pleased that Bombardier won its case to stop United States trade trade tariffs at the ITC". "With this matter behind us, we are moving full speed ahead with finalizing our partnership with Airbus", which partnered with Bombardier to help manufacture the planes in Alabama. Most observers, including Bombardier and the Canadian government, had expected Bombardier to lose its case. It has also added to tensions between the US and Canada, as the Trump administration seeks to renegotiate terms in the North American Free Trade Agreement, or NAFTA. Gold climbed back toward the previous day's 17-month peak as a report of slow economic growth pushed the USA dollar lower. "This decision will support well-paying middle-class jobs on both sides of the border", she said.
"If the C Series is forced out of the US market, and if the Embraer acquisition is finalized, Boeing will be the beneficiary through orders for E-Jets made in Brazil". Last year, the number of anti-dumping and countervailing duty investigations launched by the Commerce Department rose more than 60 percent.
"This whole saga must act as a warning to the United Kingdom government about the battles it faces to defend jobs and industries as we leave the European Union and face the increasingly hostile territory of trade wars on our own". The U.S. airline threw a lifeline to the slow-selling C Series in 2016 by ordering at least 75 CS100 jets - a deal with a list value of $5.6 billion at the time. The carrier issued a brief statement Friday saying that it was "pleased" by the ITC ruling and looks forward to introducing the CS 100 fleet.
Even in the case of an appeal, Boeing will have to work and rethink its strategy to prove the damage and sustain 737-700 and MAX 7 programs.