World Media

United States lands dumping duties on Canadian plane imports

United States lands dumping duties on Canadian plane imports

That's in addition to existing 219.63% duties announced previously, bringing the total penalties on imported aircraft up to almost 300%. Boeing's complaint initially sought only 80 percent. "Commerce's attempt to create future costs and sales prices by looking at aircraft not imported into the United States is inappropriate and inconsistent with the agency's past practices", the company added.

The controversy is likely to hang over Prime Minister Justin Trudeau's trip to Washington this week, where he is scheduled to discuss trade with US President Donald Trump just as negotiators hold the fourth round of talks to amend the North American Free Trade Agreement.

Both Canada and the United Kingdom have already threatened to stop buying Boeing military equipment.

"This is a disappointing statement but hardly surprising given last week's preliminary ruling sided with Boeing", a British government spokesman said on Saturday.

"This Government has been working tirelessly to bring the case to a satisfactory resolution and we will continue to do so". The firm order for 75 aircraft had a list price of US$5.6 billion, although large orders typically secure steep discounts. Some analysts said the muted response reflected a view that the penalties might not actually be applied.

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A final decision regarding the ongoing dispute between Boeing and Bombardier is expected to be made by early next year.

Montreal-based Bombardier called Commerce's preliminary antidumping duty decision "an egregious overreach and misapplication of the US trade laws in an apparent attempt to block the C Series aircraft from entering the USA market".

"Boeing welcomes competition and Bombardier can sell its aircraft anywhere in the world".

"This determination confirms that, as Boeing alleged in its petition, Bombardier dumped its aircraft into the USA market at absurdly low prices", it said in a news release.

Mr Clark said Boeing does not even make a competing aircraft in the 100-125 seat sector, which is where the C-Series model sits.

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The latest duty matches the amount originally proposed by Boeing, before it revised its request to 143 per cent because of Bombardier's refusal to provide certain information to the Commerce Department.

Delta said the decision was preliminary and it was confident the ITC "will conclude that no US manufacturer is at risk" from Bombardier's plane.

Freeland said: "Given the baseless and absurdly high preliminary countervailing duties announced on September 26, today's news comes as no surprise".

The US is committed to free, fair and reciprocal trade with Canada, but this is not our idea of a properly functioning trading relationship.

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