Thousands of jobs in Northern Ireland appear to have been saved after plane maker Bombardier won a legal battle in the US that has overturned damaging import tariffs on its C-series aircraft.
On Friday the US International Trade Commission (ITC) voted unanimously against Boeing in favour of its Canadian rival Bombardier after Donald Trump’s administration had threatened to impose duties of 292%.
The decision defied the expectations of both the British government and trade unions in Northern Ireland. Theresa May spoke with Trump over the dispute at the World Economic Forum in Davos, where the prime minister is reported to have reiterated the importance of Bombardier to the Northern Irish economy.
Boeing had complained to US authorities that the C-series jets were being sold to the US airline Delta below their production cost and had been given illegal subsidies from the UK and Canadian governments. But the commission voted 4-0 in favour of Bombardier against Boeing, which had raised a complaint about the Canadian manufacturer receiving state subsidies.
Boeing had won a ruling in the US that resulted in the imposition of the tariff on Bombardier’s jets, which were built for a number of US airlines.
“Today’s decision is a victory for innovation, competition and the rule of law. It is also a victory for US airlines and the US travelling public,” Bombardier said. “The C-series is the most innovative and efficient new aircraft in a generation. Its development and production represent thousands of jobs in the United States, Canada and the United Kingdom.
“We are extremely proud of our employees, investors and suppliers, who have worked together to bring this remarkable aircraft to the market. With this matter behind us, we are moving full speed ahead with finalising our partnership with Airbus.
“Integration planning is going well and we look forward to delivering the C-series to the US market so that US airlines and the US flying public can enjoy the many benefits of this remarkable aircraft.”
After the ITC’s decision May said: “I welcome this decision, which is good news for British industry.”
Business secretary Greg Clark added: “The decision by the International Trade Commission confirms what the UK and Canadian governments working hand in hand has maintained from the outset, that this case is unjustified.”
The Unite union in Northern Ireland said on Friday night that workers were “jubilant” over the ruling. Steve Turner, a Unite assistant general secretary, said the victory was a result of political pressure arising from the trade union movement’s campaign to save thousands of jobs in Belfast, where Bombardier builds the wings for the C-series jets.
Turner said: “Bombardier workers in Northern Ireland and throughout the supply chain in the UK will be breathing a huge sigh of relief that the International Trade Commission has seen though Boeing’s baseless complaint. When the going got tough, Unite did not thrown in the towel. Our members and shop stewards redoubled their efforts in bringing pressure to bear on politicians in Washington, Westminster, Brussels and Northern Ireland.”
He added that there could now be “no backsliding” by the Trump administration and that the US government would have to accept the ITC decision.
The Democratic Unionist MP for Belfast East, Gavin Robinson, said he was “absolutely delighted”. “It was an amazing result and a massive relief for the staff. The C-series is now ready for takeoff.”
Naomi Long, the Alliance party MLA for Belfast East, also welcomed the ruling. “I hope it is the end of the matter, which has been highly disruptive to Bombardier and extremely stressful for local employees of the company and those working in the supply chain. We need to ensure the organisation can now proceed with the construction and supply of one of the most innovative aircraft on the global market.”
Bombardier employs about 1,000 people in Belfast linked to the C-series, and about 4,000 people in total in Northern Ireland. The programme is also crucial to 15 smaller aerospace firms in the region which make components for the wings.