Home » World

United States imposes additional duties on Bombardier

08 October, 2017, 00:44 | Author: Priscilla Morrison
  • Further tariff of 80% imposed on import of C-Series

For the second time in two weeks, the U.S. Commerce Department hit Canada's Bombardier Inc. with tariffs Friday, siding with American jet maker Boeing Co., which claims that its rival is selling its C-Series jets at unfairly low prices.

In a statement, Boeing said the Department of Commerce had "affirmed the magnitude to which Bombardier has dumped C Series aircraft in the United States, selling those aircraft at prices millions below production cost in an illegal effort to grab market share in the U.S. single-aisle airplane market".

The duties are in response to a complaint from USA competitor, Boeing, that accused Quebec-based Bombardier of selling 75 of its new CSeries jets to Delta Air Lines at below production cost to gain market share and that the government subsidized the project.

UK Prime Minister Theresa May had lobbied US President Donald Trump over the dispute sparked by complaints from rival Boeing that Bombardier received unfair state subsidies from the UK and Canada, allowing the sale of airliners at below cost prices in the US.

The report said more than half of the materials Bombardier buys for the new CSeries plane come from US suppliers, with the most spending in California, Connecticut, Illinois, Iowa and Kansas, the report said.

The U.S. Commerce Department will release its final decision on the anti-dumping duty in December.

A week after the imposition of countervailing duties of around 220 % on the CSeries aircraft to Bombardier, Washington returned to the charge with anti-dumping duties of 79,82 % at the end of a preliminary decision is likely to be, again, to raise the indignation in business circles, trade union and political.

The hit is on top of an earlier tariff of almost 220 per cent, relating to subsidies Bombardier received from Canada and the UK.




In a statement on Friday, she said the Canadian government was "extremely disappointed by and in complete disagreement with" the new tariff that "put [s] at risk the nearly 23,000 U.S.jobs that depends on Bombardier and its suppliers".

"We will continue to verify the accuracy of this decision, while doing everything in our power to stand up for American companies and their workers", Ross added.

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.

He said workers will fight even harder to get the duty reversed. It was an order of 75 aircraft worth more than United States $5 billion.

U.S. aerospace analyst Richard Aboulafia said the high duties will hurt CSeries sales efforts to leasing companies and shut the plane out of the U.S. unless the U.S. International Trade Commission effectively ends the challenge in February.

The penalties were imposed after officials decided Bombardier got illegal help from the United Kingdom and Canadian governments.

Champagne warned that "there will be consequences" - essentially repeating Trudeau's threat to cancel the planned purchase of the Super Hornets.

Recommended:



Popular

India beat Aussies by 9 wickets in rain-hit T20
Opener and vice-captain David Warner will lead the squad in the three match T20I series in Smith's absence. Steve Smith is in doubt for Australia's first T20 global against India with a shoulder injury.

Pelosi calls birth control decision a 'new low'
President Donald Trump gathers with Congressional Republicans in the Rose Garden of the White House on May 4, 2017. The ACLU has filed a lawsuit , saying the new rule promotes discrimination against women.

Authorities recover 42 guns from gunman's hotel room, house
Lombardo said after Paddock shot a security guard, he stopped shooting, so officers used the time for planning. Asked to characterize his brother, he termed him an average man who " drove down and gambled in Las Vegas ".

Bounce tops google play store downloads
You can still access your Assistant by pressing and holding down your home button or by simply saying, " Ok Google ". All that's left is for developers of Assistant apps and actions to support those languages too .

Yankees vs. Indians Odds: MLB Playoffs Series Odds, Prediction
The 6-foot-7 Miller was magnificent in last year's postseason, striking out 30 over 19 1/3 innings and winning ALCS MVP award. Their depth, especially on the mound, and home field advantage will be too much for this year's Yankees to overcome.

More US records, while Europe shrugs off events in Spain
The opposition Socialist bloc in Catalan's regional parliament called for Monday's session to be blocked, according to the AP . That challenge to the court had come from Spain's government, which condemned the referendum as illegal.

3 billion Yahoo accounts compromised in 2013 hack
The company also added that they are continuing to work closely with law enforcement, and the US Federal Communications commision. The new information about the breach is coming from an investigation after Verizon acquired Yahoo in a $4.48 billion deal.

Key Decisions to Bolster Iran-Turkey Cooperation
He will also meet with Iran's supreme leader, Ayatollah Ali Khamenei, during his trip to Tehran. Erdogan is in Iran discussing Kurdistan's referendum as well as bilateral relations.

Premier League In Focus - West Brom vs Watford Preview
However, they have dismantled their opponents so far with a mixture of classical Jose Mourinho defending and brute power up front. Ferguson amassed an incredible 38 trophies, including a record 13 Premier Leagues and two Uefa Champions Leagues.

Google Home Mini speaker official
The Google Home Max has a fabric design for the grille, with the speaker available in two color options - chalk and charcoal. Thanks to Voice Match, you'll be able to quickly speak tasks and control smart home appliances around the house.