Global coalition urges Trump to reconsider new airplane tariffs

- A Monitor Report Date: 17 June, 2025
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New York : A coalition of global powerhouses, including China, Canada, Japan, Mexico, Switzerland, and the European Union, has urged the Trump administration to reconsider imposing new US tariffs on imported commercial airplanes, engines, and components.

The warning was issued in letters submitted to the US Commerce Department, which is currently conducting a Section 232 national security investigation of the aviation sector.

Airplanes today are the product of a finely cooperated international supply network: engines may come from the UK, avionics from Japan, wings from Italy, and seats from Canada-all assembled in the United States.

The coalition and the industry leaders predict that such a move would disrupt global supply chains, raise prices for airlines and passengers, and damage international cooperation in one of the world's most interconnected sectors.

Stakeholders urged Trump to reinstate the tariff-free environment under the 1979 Civil Aircraft Agreement, a bilateral arrangement that has contributed to a robust USD 75 billion annual trade surplus in the US aviation sector.

The EU emphasized the strategic importance of tariff-free trade, stating, "As reliable trading partners, the European Union and United States should strengthen their trade regarding aircraft and aircraft parts, rather than hinder it by imposing trade restrictions."

China warned against protectionist policies, saying, "No country or region should attempt to support the development of its domestic aircraft manufacturing industry by suppressing foreign competitors."

Airline groups including Delta, JetBlue, and Airbus Americas echoed concerns that new tariffs would inflate ticket costs, disrupt supply chains, compromise safety, and jeopardize US aerospace employment.

Some industry experts argue that maintaining tariff-free access is crucial to sustaining US leadership in the aviation industry, preserving global supply chains, and protecting consumers.

On the other hand, the United Auto Workers union showed its support behind tariffs and supply quotas, citing a sharp decline in US aerospace jobs from 850,000 in 1990 to 510,000 in 2024, and advocating for measures to boost domestic production.

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