Bombardier warns on US import tariff uncertainty but puts ‘solid contingency plans’ in place

Bombardier CE Eric Martel has highlighted the airframer’s extensive US industrial presence and strong trading relationship as he used the company’s full-year results call to warn against the imposition of tariffs on Canada-built products. President Donald Trump on 1 February said the US would immediately add a 25% tariff to all goods made in Canada or Mexico being imported into the country. However, their introduction was subsequently paused for a month. Nonetheless, the “uncertainty created by the threat of tariffs” has prompted Bombardier to suspend providing financial guidance for 2025, says Martel, briefing investors on 6 February. Bombardier, he says, has some 2,800 suppliers across 47 US states which employ around 10,000 people and there are more “parts and systems” from those suppliers on its aircraft than from any other country. They are not confined to small parts either, he notes, but “major structures and components” – including the Global 7500’s wing – are built by US companies. In addition, Bombardier’s defence business is based in Wichita, Kansas and the company has a string of service centres spread across the country. Martel says the firm has a “reciprocal trade balance” with the USA “where both sides have equally won”. Tariffs “would not benefit anyone in the long term”, he adds.<br/>