US President Donald Trump has threatened to block the sale of Bombardier Inc. jets in the US, escalating a trade dispute with Canada ahead of Ottawa’s planned retaliatory measures at 12.01 am (Canada time) today.
“NO MORE SELLING BOMBARDIER IN THE UNITED STATES!” Trump said in a social media post on Monday, criticising the Canadian aircraft maker and arguing that more than half of its revenue comes from the US market.
“Their products aren’t good enough! Over 50% of their revenue comes from the United States — They live off American Buyers, American Companies, American Airports, and American Service — All while Canada blocks our GREAT American Banks, and Companies, throughout the U.S.A,” he said.
Trump did not clarify whether his comments meant a ban on Bombardier aircraft or a new import tariff. He has made similar threats against the company in the past, including claims that Canada had blocked certification of US-made Gulfstream jets, Bloomberg reported.
Canada prepares to impose tariffs on US
The comments came 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 levies imposed on Canada.
Any US action against Bombardier could also affect American companies that form part of the aircraft maker’s supply chain. Bombardier said Monday that it has a significant presence in the US aerospace industry, with employees across more than 20 states, including Texas, Arizona and Florida.
The company manufactures wings for its fastest business jet at a facility in Red Oak, Texas, while flight-control components are produced in the Los Angeles area. Bombardier is also scheduled to open a new facility in Fort Wayne, Indiana, this year.
Bombardier’s supply chain in US
Bombardier said its aircraft support tens of thousands of US jobs through its American operations and supply chain, which includes around 2,800 US companies across 47 states. The company said it spends more than $2.5 billion annually with American suppliers.
Republican Senator Jerry Moran of Kansas, where Bombardier has its US headquarters, said he had contacted the Trump administration to highlight the company’s economic importance to the state.
The latest escalation comes as Trump administration officials have indicated that Washington could respond to Canada’s counter-tariffs with additional measures. A potential new tariff on automobiles has also been discussed, Bloomberg reported.
Trade tensions between US, Canada
Canada is preparing to raise import duties on several US steel products to 50% from 25% on Tuesday, while imposing tariffs on a range of consumer goods, unless the measures are delayed at the last minute.
The retaliatory steps follow the breakdown of trade negotiations between the two countries. US and Canadian officials had spent weeks trying to reach an agreement to ease tensions and prevent another round of tariffs. The talks appeared to make progress before collapsing last month.
The breakdown paved the way for US tariffs of 50% on around $20 billion in Canadian goods from 22 August. Canadian authorities announced details of their retaliatory tariffs three days later.
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