United States increases import tariffs on Bombardier C-Series planes

Further tariff of 80% imposed on import of C-Series

Further tariff of 80% imposed on import of C-Series

"Boeing is manipulating the US trade remedy system to prevent Bombardier's aircraft, the CSeries, from entering the USA market despite Boeing's admission that it does not compete with the C Series", she said in a statement.

Bombardier is facing a planned 220% tariff as part of a separate investigation, the US Department of Commerce confirmed.

Specifically, Boeing charges that Bombardier previous year sold Delta Air Lines 75 CS100 aircraft for less than it cost to build them. Bombardier dismissed the claim as "absurd".

The new proposed penalty, which would not take effect unless affirmed by the U.S. International Trade Commission early next year, is nevertheless expected to heighten trade tensions between the United States, Canada and Britain, where wings for the Bombardier jetliner are made.

"Boeing is manipulating the USA trade remedy system to prevent Bombardier's new aircraft, the CSeries, from entering the US market, despite Boeing's admission that it does not compete with the CSeries", Canadian Foreign Affairs Minister Chrystia Freeland said in a statement Friday.

"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 US government said its intervention was prompted by concern to prevent "injurious dumping" of imports into the country, "establishing an opportunity to compete on a level playing field".

The preliminary 79.82% tariff proposed Friday would add to a 220% tariff that Bombardier is already facing because of separate probe into Boeing's claims it received unfair state subsidies from the United Kingdom and Canada.

The second round of import duties marks the latest blow for Bombardier, which received financial support from Quebec and Canada after its biggest jet came in two years late and about $2 billion over budget.

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The US government's preliminary decision affects imports of 100-150 aircraft from Canada.

He added: "Ministers have a duty to defend jobs and future manufacturing in Northern Ireland and the rest of the United Kingdom by demanding Boeing attends an urgent summit involving Prime Minister Theresa May and the Canadian prime minister Justin Trudeau alongside the unions representing our workforce and withdraws its unwarranted claims".

Canadian Prime Minister Justin Trudeau will be in Washington next week when the NAFTA negotiations resume.

The UK business minister, Greg Clark, travelled to Chicago for a meeting with Boeing's chairman, president and chief executive Dennis Muilenburg to try to solve the dispute.

Unions have warned thousands of jobs could be in jeopardy. That argument was augmented by the Canadian government.

"There are still a lot of markets where you can't beat a turbo in terms of economics", said Cognard, adding Bombardier's move to increase the number of seats on the Q400 gave the plane a cost edge in the category.

Freeland said that Chicago-based Boeing "is manipulating the US trade remedy system" to block Bombardier's C Series from being sold in the U.S.

The C-Series operation's immediate future was thought to have been secured after Bombardier signed a $5.6bn deal in 2016 to provide the aircraft.

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