‘No more sales to Bombardier’: Trump threatens to halt US sales of Canadian planes | Today’s news
US President Donald Trump has threatened to stop sales of Bombardier Inc planes. in the U.S., escalating a trade dispute with Canada ahead of Ottawa’s planned retaliation at 12:01 a.m. (Canadian time) today.
“SELL NO MORE BOMBARDIER IN THE UNITED STATES!” Trump criticized the Canadian plane maker in a social media post on Monday, claiming more than half of its revenue comes from the US market.
“Their products are not good enough! Over 50% of their revenue comes from the United States – they live off American buyers, American companies, American airports and American services – all while Canada blocks our BIG American banks and companies all over the US,” he said.
Trump did not specify whether his comments meant a ban on Bombardier planes or a new import tariff. He has made similar threats against the company in the past, including claims that Canada blocked the certification of US Gulfstream jets, Bloomberg reported.
Canada is set to impose tariffs on the US
The comments come as Canada prepares to impose tariffs ranging from 15% to 50% on hundreds of US products on Tuesday. The measures are Prime Minister Mark Carney’s response to new US trade tariffs on Canada.
Any U.S. action against Bombardier could also affect U.S. companies that are part of the planemaker’s supply chain. Bombardier said Monday it has a significant presence in the U.S. aerospace industry, with employees in more than 20 states, including Texas, Arizona and Florida.
The company manufactures the wings for its fastest business jet at a facility in Red Oak, Texas, while flight control components are manufactured in the Los Angeles area. Bombardier is also slated to open a new facility in Fort Wayne, Indiana this year.
Bombardier’s supply chain in the US
Bombardier said its planes support tens of thousands of U.S. jobs through its U.S. operations and supply chain, which includes about 2,800 U.S. companies in 47 states. The company said it spends more than $2.5 billion annually with U.S. suppliers.
Republican Sen. Jerry Moran of Kansas, where Bombardier has its U.S. headquarters, said he contacted the Trump administration to emphasize the company’s economic importance to the state.
The latest escalation comes as Trump administration officials hinted that Washington could respond to Canada’s counter-tariff measures with additional measures. A potential new tariff on cars was also discussed, Bloomberg reported.
Trade tensions between the US and Canada
Canada is preparing to raise import tariffs on several US steel products to 50% from 25% on Tuesday, while imposing tariffs on a range of consumer goods unless the measure is delayed at the last minute.
The retaliation follows a breakdown in trade talks between the two countries. U.S. and Canadian officials have spent weeks trying to reach a deal that would ease tensions and prevent another round of tariffs. Talks appeared to be making progress before collapsing last month.
The meltdown paved the way for U.S. tariffs of 50% on about $20 billion of Canadian goods starting Aug. 22. Canadian authorities announced details of their retaliatory tariffs three days later.
