Bombardier and the reason #Brexit will further cripple UK industry

A Bombardier C-series jet, part of the Delta airline fleet.

The US Government has decided to slap a huge, 219 per cent tariff on imports into that country of a new aeroplane made by Northern Ireland-based company Bombardier, in a protectionist move that seems intended to give notice to the UK that our aerospace industry will be ruined by Brexit.

It would more than triple the cost of a C-Series aircraft sold in the US to about $61 million per plane, based on Boeing’s assertion that US airline Delta, which has bought the planes, received them for $19 million each.

The US Department of Commerce agreed with Boeing’s case that Bombardier had received unfair, anti-competitive state support from the Quebec regional government.

Bombardier, which has also received £113m in repayable funding from the UK government, called the decision “absurd and divorced from the reality about the financing of multibillion-dollar aircraft programmes”.

It seems the company is right. Here’s Chris Kendall on Twitter to explain:

What do you think? And what does this mean for the Conservative Party’s deal with the Northern Irish DUP?

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3 thoughts on “Bombardier and the reason #Brexit will further cripple UK industry

  1. rotzeichen

    The problem about this whole debate is that we are not an exporting nation but an importer of other countries finished goods, we have trade deficits with Europe and the rest of the world.

    What I find interesting about the series of twitter statements that Chris Kendall points out quite graphically, is that research and development on new aircraft can’t happen without government money. In other words if we want to stay ahead in advanced technological research, the public sector has to subsidise it. Which is contrary to the Neo-Liberal dogma that has over the last forty years espoused that we must get government off our backs and private enterprise will deliver. That is and now proven to be totally false premise.

    What we are witnessing is the total chaos of capitalism, Free Trade only seems to work when the US decides it does, It really is time for people to start listening to voices that explain as a small country we should not look to world trade dominated by the biggest economies, but create our own industries to serve our own needs, money is created by our government, we can use that money to invest in our public services and industry. We don’t need Europe or the rest of the world to do that, all we need is the common sense to see it.

  2. Barry Davies

    Bombadier is a Canadian Company, if being in the eu keeps us safe from the US how come they haven’t? In fact the TTIP which Trump thankfully dumped gave far more power to the US than anyone with half a brain would have considered, but Trump only dumped it because of the long slow drawn out waste of time that is endemic to all eu negotiation.

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