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Strike Aviation Group

Strike Aviation Group


Ai Logistics Network


WASHINGTON, DC: January 26, 2018. In a blow to the Trump administration and Boeing, the U.S. International Trade Commission (ITC) has ruled unanimously that Canadian manufacturer Bombardier has not sold its C-Series aircraft in the U.S. at below market prices.

Despite a ruling last year by the U.S. Department of Commerce that sought to apply a 299.45 percent penalty tariff on the Canadian manufacturer, ITC chairman Rhonda Schmidtlein, vice chairman David Johanson and Commissioners Irving Williamson and Meredith Broadbent determined the U.S. was "not materially injured or threatened with material injury by reason of imports of 100- to 150-seat large civil aircraft from Canada".

Delta Ed Bastian at BombardierAs a result the ITC said it would not be issuing any antidumping or countervailing duty orders.

Bombardier responded by saying the ruling was a victory for innovation, competition and the rule of law; adding the result would secure thousands of jobs in the U.S., Canada and the UK.

"With this matter behind us, we are moving full speed ahead with finalizing our partnership with Airbus," the company said. "Integration planning is going well and we look forward to delivering the C Series to the U.S. market so that U.S. airlines and the U.S. flying public can enjoy the many benefits of this remarkable aircraft."

In April 2016 Delta signed an order for 75 CS100 aircraft, with options for a further 50, at a total list price of US$5.6 billion. Although it doesn't manufacture a similar-sized airplane, Boeing subsequently filed a complaint with the Trump Administration saying the Canadian company was selling the airplane at below unit cost.

In response to today's decision, Delta said it was pleased the Commission had rejected "Boeing's anticompetitive attempt to deny U.S. airlines and the U.S. traveling public access to the state-of-the-art 110-seat CS100 aircraft when Boeing offers no viable alternative."

At the time of its order Delta CEO Ed Bastian noted: "These new aircraft are a solid investment, allowing us to take advantage of superior operating economics, network flexibility and best-in-class fuel performance."

Boeing responded to today's ruling saying it disagreed with the ITC decision and expressed disappointment it had not recognized "the harm [the company] 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 U.S. small single-aisle airplane market".

Delta is expected to take delivery of its first CS100 in the near future.

CSAFE Global


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