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January 26, 2018

District 11

Boeing grounded by ITC

Bombardier C-Series gets clearance for US market

Friday, January 26th 2018

Washington, D.C. – The American International Trade Commission (USITC) issued a decision in favour of Bombardier in its dispute with Boeing.

"I am very surprsied", expressed David Chartrand, Quebec coordinator of the International Association of Machinists (IAM). "This is the best news that has been announced to us for a year and I cannot be happier for our members in Quebec," says Stan Pickthall, Canadian vice-President of IAM.

"I really expected the USITC to support Boeing because on average foreign companies that are the subject of a complaint filed with this Commission lose their case" says Mr. Chartrand. The general consensus, even among Canadian international trade experts, was that Boeing's complaint would be sustained and not rejected. "Finally, a moment of common sense reigns in this saga!", rejoices a satisfied Mr. Pickthall. "Boeing's claim should never have taken flight."

The USITC ruled that the large civilian aircraft of 100 to 150 passengers from Canada does not cause any harm to the U.S. industry. Bombardier had to obtain the support of three of the four commissioners to end the punitive rates of 292.21% imposed on its C-Series aircraft. Boeing launched its commercial procedure last April, arguing that governments in Canada and the United Kingdom subsidized the development of the aircraft and allowed Bombardier to sell it at prices that challenged all competition. The only American customer  so far is Delta Airlines, which bought 75 C-Series aircraft last spring. Boeing did not bid on the contract proposed by Delta.

"Today, Bombardier's workers can get back to building the best aircraft in the world with a certain peace of mind about their future," says Mr. Pickthall.