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Boeing loses Bombardier anti-dumping case

28 January 2018

"The plane's going to be assembled in Alabama for the USA market, therefore it's creating American jobs", he said.

The four-person U.S. International Trade Commission (ITC) ruled unanimously that Boeing was "not materially injured or threatened with material injury" by Bombardier's sale of the jet to Delta. Last year, with the plane's access to the USA market in doubt, Bombardier agreed to hand control of the program to Airbus SE in exchange for the European planemaker's marketing muscle and manufacturing expertise.

Boeing continued to defend its position after the hearing, despite the overwhelming nature of the ruling.

It noted that the only parts for the CS100 and CS300 aircraft imported from Canada will be the cockpit and a small section of the aft fuselage.

A spokesperson for Boeing said it was "disappointed" by the ITC's decision and that it would "review the detailed conclusions when they are released".

In Montreal, where negotiators are meeting to overhaul the North American Free Trade Agreement between the United States, Canada and Mexico, the decision was welcomed.

Chief on the list of US sales prospects is JetBlue Airways Corp., which earlier this year delayed a decision on updating its fleet of regional jets.

The Prime Minister said: "I welcome this decision, which is good news for British industry". Boeing didn't offer its 737-700 or the 737 MAX 7 presumably because the company couldn't deliver the planes until 2022.

But the ITC on Friday nullified that decision on a 4-0 vote, ruling that a US industry would not be "materially injured or threatened with material injury" by imports of the Bombardier planes.

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Television images showed injured survivors being evacuated, the more serious receiving first aid in a field close by. A number of rail services in Milan, Italy , have been delayed or suspended in view of the Milan train derailment.

The dispute heated up late previous year when the U.S. Commerce Department issued preliminary rulings in Boeing's favor, levying almost 300 percent tariffs on jets imported from Canada.

Commerce Secretary Wilbur Ross said $1.5 billion in Canadian government subsidies for Bombardier would damage US industry.

The case report will be made available March 2 on the ITC website.

In a keynote address, the president is expected continue expressing grievances over how the US has been treated unfairly in foreign trade, while also asking for more foreign investment, citing recent tax cuts and deregulation efforts.

On Friday the ITC said United States companies and workers were not being harmed by sales of 100- to-150-seat aircraft from Canada.

The trade panel's ruling is "a victory for innovation, competition, and the rule of law", Bombardier, which spent more than $6 billion to develop the C Series, said in a statement. Bombardier shares jumped more than 15 percent.

In a preliminary ruling in June, the ITC found that Boeing presented "a reasonable indication" of harm to its business, so the Commerce Department proceeded to propose the tariffs, pending a final decision.

"Delta is satisfied by the ITC's decision dismissing Boeing's anticompetitive endeavor to deny US aircrafts and the USA flying out community to the best in class 110-situate CS100 air ship when Boeing offers no practical option", Delta said. However, it noted that Boeing went to great lengths to have Embraer SA's E190-E2 jets excluded from consideration in the petition while keeping its negotiations to acquire the Brazilian manufacturer secret.

Boeing loses Bombardier anti-dumping case