| Author (Person) | Monaghan, Angela |
|---|---|
| Series Title | The Guardian |
| Series Details | 17.10.17 |
| Publication Date | 17/10/2017 |
| Content Type | News |
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Background Boeing had complained to the US International Trade Commission (USITC) and to the Department of Commerce that Canadian manufacturer Bombardier were selling its new C-series of plane with this capacity to the US company Delta at 'absurdly' low prices in an order claimed to be worth over $5bn. The USITC had ruled that there was an arguable case against Bombardier. Following the Department of Commerce preliminary ruling the investigation passed back to the USITC for a final ruling due to be delivered in February 2017 just before the first planes of this order were due to be delivered. A ruling against Bombardier would be highly damaging as it would have to pay substantial duties to the US as the plane was not manufactured in the US. The European dimension to this issue was the fact that part manufacture of the plane took place in a Bombardier factory in Northern Ireland. Final assembly took place in Quebec, Canada. It should also be noted that the US Boeing and the European Airbus had a long history of aircraft subsidy disputes brought before the World Trade Organisation. On the 26 January 2018 the United States International Trade Commission (USITC) determined that a U.S. industry (Boeing) was not materially injured or threatened with material injury by reason of imports of 100- to 150-seat large civil aircraft from Canada that the U.S. Department of Commerce (Commerce) had determined were subsidised and sold at less than fair value. Northern Ireland Secretary of State, Rt Hon Karen Bradley, welcomed the decision by the US Trade Commission who voted in favour of Bombardier. Aircraft manufacturers Airbus and Bombardier announced on the 16 October 2017 that Airbus would acquire a majority stake in Bombardier's C Series Aircraft Limited Partnership. While the C Series Final Assembly Line would remain in Canada, the Airbus involvement would mean a second Final Assembly Line in Mobile, Alabama, serving U.S. customers. Commentators noted this as a significant development, possibly beneficial to both Airbus and Bombardier, but also possibly open to a challenge from US interests. |
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| Source Link | https://www.theguardian.com/business/2017/oct/17/bombardier-airbus-deal-jobs-belfast-boeing-c-series |
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| Subject Categories | Business and Industry |
| Countries / Regions | Europe, France, Germany, United Kingdom |
