A coalition of global powerhouses, including China, Canada, Japan, Mexico, Switzerland and the European Union, has urged the Trump administration to reconsider imposing new U.S. tariffs on imported commercial airplanes, engines and components. The warning was issued in letters submitted to the U.S. Commerce Department, which is currently conducting a Section 232 national security investigation of the aviation sector.
Airplanes today are the product of a finely cooperated international supply network: engines may come from the UK, avionics from Japan, wings from Italy, and seats from Canada — all assembled in the United States. The coalition and the industry leaders predict that such a move would disrupt global supply chains, raise prices for airlines and passengers, and damage international cooperation in one of the world’s most interconnected sectors.
Supply chains are complex. The Dreamliner is an US export hit, but look at the number of components manufactured abroad. Tariffs on them will simply make Airbus planes more competitive on the global market. pic.twitter.com/YMnFFTROD6
— Michael A. Arouet (@MichaelAArouet) April 7, 2025
Stakeholders urged Trump to reinstate the tariff-free environment under the 1979 Civil Aircraft Agreement, a bilateral arrangement that has contributed to a robust $75 billion annual trade surplus in the U.S. aviation sector.
The EU emphasized the strategic importance of tariff-free trade, stating: “As reliable trading partners, the European Union and United States should strengthen their trade regarding aircraft and aircraft parts, rather than hinder it by imposing trade restrictions.”
China warned against protectionist policies saying that “No country or region should attempt to support the development of its domestic aircraft manufacturing industry by suppressing foreign competitors”.
Airline groups including Delta, JetBlue, and Airbus Americas echoed concerns that new tariffs would inflate ticket costs, disrupt supply chains, compromise safety, and jeopardize U.S. aerospace employment. “Trade policy should reinforce, not destabilize, the proven systems that keep our aircraft flying safely and affordably,” JetBlue stated.
Some industry experts argue that maintaining tariff-free access is crucial to sustaining U.S. leadership in the aviation industry, preserving global supply chains, and protecting consumers.
Kansas is the Air Capital of the World & a significant component of US leadership in aviation exports.
— Senator Jerry Moran (@JerryMoran) June 5, 2025
Yesterday I questioned Commerce Secretary @HowardLutnick on his plans to protect America’s aerospace export surplus as the administration negotiates trade deals. Watch below ⬇️ pic.twitter.com/HjSh1Agygn
The Airlines for America (A4A) trade group expressed concern that the tariffs will hurt US manufacturers rather than benefit them, emphasizing the importance of open, tariff-free trade in maintaining U.S. competitiveness and keeping aviation costs manageable.
The Aerospace Industries Association (AIA) commented that “Imposing broad tariff or non-tariff trade barriers on the imports of civil aviation technology would risk reversing decades of industrial progress and harm the domestic supply chain.”
Meanwhile, Boeing highlighted its commitment to increasing domestic content in new models like the 737 MAX 10 and 777X, planning to go over 88 % U.S.-sourced parts. However, the company pointed out a recent trade deal with the UK announced in May that ensures tariff-free treatment for airplanes and parts, stating that “The United States should ensure duty-free treatment for commercial aircraft and their parts in any negotiated trade agreement, similar to its efforts with the UK.”
On the other side, the United Auto Workers union showed its support behind tariffs and supply quotas, citing a sharp decline in U.S. aerospace jobs from 850,000 in 1990 to 510,000 in 2024, and advocating for measures to boost domestic production. “To safeguard the entire aerospace supply chain across the commercial and defense sectors, comprehensive tariffs and production quotas on several products are needed,” it said.
The Commerce Department has yet to conclude its Section 232 review and a final decision is forthcoming in mid-July, coinciding with ongoing negotiations of broader trade terms between the U.S. and some of its biggest partners. If implemented, the tariffs could significantly affect and reshape the future of global aviation manufacturing and trade.
