Trump threatens 50% tariff on Canadian aircraft

Trump made the threat in a social media post, saying the move would come in response to Canada’s refusal to certify aircraft produced by Gulfstream Aerospace, which is based in Savannah, Georgia. He said the United States would retaliate by decertifying all Canadian aircraft, including jets made by Bombardier, the country’s largest aircraft manufacturer.

“If this situation is not immediately corrected, I am going to charge Canada a 50 percent tariff on any and all aircraft sold into the United States of America,” Trump wrote. He added that he was “hereby decertifying” Bombardier’s Global Express business jets.

According to aviation analytics firm Cirium, about 150 Global Express aircraft are currently registered in the United States and operated by 115 different owners. Bombardier’s Global series directly competes with Gulfstream’s latest business jet models in the high end market.

Trump’s latest warning follows an earlier threat over the weekend to impose tariffs of up to 100 percent on Canadian imports if Ottawa proceeded with a planned trade deal with China. However, he did not specify when the proposed aircraft tariffs would take effect.

Bombardier and the Canadian transport minister did not immediately respond to requests for comment.

Aviation expert John Gradek of McGill University said certification decisions are based on safety considerations and using them as a trade weapon would be unprecedented. He noted that many Gulfstream aircraft have long been certified for use in Canada.

“This is taking the dispute to an extreme,” Gradek said, calling the move a new escalation in the growing trade conflict between the two countries.

The United States has previously targeted Bombardier. During Trump’s first term in 2017, US authorities imposed duties on a Bombardier commercial jet, alleging it was sold below cost with the help of unfair government subsidies. The US International Trade Commission later ruled that the sales did not harm American industry.

Bombardier has since shifted its focus to business and private jets, particularly its Global and Challenger families, which are widely used by individuals, corporations and fractional jet operators. Analysts say losing access to the US market would deal a major blow to the Quebec based company.

Meanwhile, US Treasury Secretary Scott Bessent warned Carney this week that his recent criticism of US trade policy could have consequences ahead of the formal review of the US Mexico Canada Agreement. Carney rejected suggestions that he had softened his stance, saying Canada plans to reduce its dependence on the United States by pursuing new trade deals.

At the World Economic Forum in Davos last week, Carney drew international attention by condemning economic pressure by major powers on smaller countries, remarks widely seen as aimed at Washington.

Canada is also home to other major aircraft manufacturers, including De Havilland Aircraft of Canada and Airbus, which produces A220 jets and helicopters in the country. Under a long standing World Trade Organization agreement, signatories are required to eliminate tariffs on civil aircraft and related components, highlighting the deep integration of the US and Canadian aerospace industries, reports UNB.