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You can find the current article at its original source at https://www.theguardian.com/business/live/2017/sep/27/theresa-may-bitterly-disappointed-bombardier-trade-tariff-imf-world-economy-business-live
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| Theresa May 'bitterly disappointed' as Bombardier jets hit by huge US trade tariff - business live | Theresa May 'bitterly disappointed' as Bombardier jets hit by huge US trade tariff - business live |
| (35 minutes later) | |
| 9.04am BST | |
| 09:04 | |
| The Department of Commerce released its ruling against Bombardier last night - you can see it online here: | |
| U.S. Department of Commerce Issues Affirmative Preliminary Countervailing Duty Determination on Imports of 100- to 150-Seat Large Civil Aircraft From Canada | |
| It argues that Bombardier has received subsidies from the Canadian government on the C-Series planes that it has sold to the Delta airline, worth 219%. So, it is ordering US Customs and Border Protection to collect cash deposits on every plane shipped into America. | |
| U.S. Secretary of Commerce Wilbur Ross says the Trump administration won’t tolerate illegal subsidies: | |
| “The U.S. values its relationships with Canada, but even our closest allies must play by the rules. | |
| The subsidization of goods by foreign governments is something that the Trump Administration takes very seriously, and we will continue to evaluate and verify the accuracy of this preliminary determination.” | |
| 8.53am BST | |
| 08:53 | |
| Labour: Government must protect Bombardier jobs | |
| Shadow education secretary Angela Rayner called on the government to protect the thousands of Bombardier workers in Belfast. | |
| She stressed that the UK had followed the rules and added that the government “needs to be robust in their defence of that”. | |
| She told BBC Radio 4’s Today programme: | |
| “The Bombardier situation is quite a crucial one because these are UK jobs that we depend on, thousands, and actually the government were involved in that contract process and were robust and I think that we have to defend the fact that that contract was awarded and we followed the rules. | |
| “At times Jeremy [Corbyn] talks about sometimes the global rules don’t benefit UK jobs, but actually we followed the rules, we got that contract fair and square and the government must ensure that we protect those jobs to ensure that we can keep our businesses running.” | |
| 8.43am BST | |
| 08:43 | |
| DUP MP: America really shouldn't act like this | |
| Q: There are reports that Canada may retaliate by imposing a block on Boeing imports into Canada. Should Britain hit Boeing with reprisals too? | |
| Sir Jeffrey Donaldson MP says it is too early to consider this, as we’ve only had the preliminary decision from the US Department of Commerce. | |
| But he drops a hint that the UK could hit back, saying Theresa May is “putting down a marker” by criticising the decision so strongly today. | |
| If Boeing want to do business in the UK, they need to stop acting in such an unreasonable and irrational way against an aircraft that is innovative and isn’t in direct competition with Boeing. | |
| If America is about free trade and free enterprise, it really shouldn’t be doing this. | |
| Reminder: Donaldson’s position is significant, as the DUP are now propping up Theresa May’s government in Westminster. | |
| Q: Are you pessimistic or optimistic about Bombardier’s chances in this dispute, Sir Jeffrey? | |
| I believe David can defeat Goliath, Donaldson shoots back. | |
| Updated | |
| at 8.47am BST | |
| 8.34am BST | |
| 08:34 | |
| Q: What did Trump say to Theresa May about this dispute? | |
| At that stage, they were waiting for the interim decision, replies Sir Jeffrey Donaldson. He’s sure they’ll speak again now the decision is out. | |
| Donaldson adds: | |
| He [Trump] has adopted in the past a protectionist approach to US business. | |
| But we believe strongly in this case that it isn’t about protectionism because Bombardier and Boeing were not competing for the Delta aircraft [contract]. | |
| We think the C-Series is not in direct competition with Boeing. | |
| Updated | |
| at 8.36am BST | |
| 8.30am BST | |
| 08:30 | |
| DUP MP: Devastating consequences for Belfast if factory closes | |
| Sir Jeffrey Donaldson, a Democratic Unionist Party MP, is also on the Today Programme. | |
| He says Bombardier’s factory is critical to Belfast, supporting 4,000 jobs and around 80 firms in the supply chain. | |
| There would be devastating consequences for the economy if the factory were closed, and we’re going to do everything we can to make sure that doesn’t happen. | |
| Donaldson adds that Bombardier have a strong case, and accuses Boeing of acting unreasonably by bringing its case against its Canadian rival. | |
| The C-series is an innovative aircraft, it’s hugely competitive, and that’s why Boeing in the most unreasonable and irrational way have tried to block Bombardier from the market. | |
| 8.20am BST | 8.20am BST |
| 08:20 | 08:20 |
| Haley Dunne, director of public affairs at Bombardier Belfast, says the 219% tariff is “absurd”. | Haley Dunne, director of public affairs at Bombardier Belfast, says the 219% tariff is “absurd”. |
| Speaking on Radio 4 she says that: | Speaking on Radio 4 she says that: |
| It’s a preliminary decision, and we’ll continue though the process.... | |
| The magnitude of the fines that are being imposed are absolutely absurd. | |
| Q: Can you give any guarantees to your workers that jobs are safe? | Q: Can you give any guarantees to your workers that jobs are safe? |
| Dunne says that Boeing’s claim is “meritless”, and Bombardier are confident that the facts will support them in the end. | |
| However, there is “no doubt” that the C series jet is crucial to our future, she adds. | However, there is “no doubt” that the C series jet is crucial to our future, she adds. |
| Updated | Updated |
| at 8.56am BST | |
| 8.17am BST | 8.17am BST |
| 08:17 | 08:17 |
| This 219% tariff slapped on Bombardier could “kill demand for the C-Series in the US”, says the BBC’s Simon Jack on the Today Programme. | This 219% tariff slapped on Bombardier could “kill demand for the C-Series in the US”, says the BBC’s Simon Jack on the Today Programme. |
| He points out that last night’s ruling is only ‘preliminary’. A further ruling in February will examine how much damage has actually been suffered by Boeing (who didn’t actually pitch for this contract to supply jets to Delta). | He points out that last night’s ruling is only ‘preliminary’. A further ruling in February will examine how much damage has actually been suffered by Boeing (who didn’t actually pitch for this contract to supply jets to Delta). |
| Some critics have claimed that Boeing is just trying to “strangle a competitor” by bringing its complaint, Jack adds. | Some critics have claimed that Boeing is just trying to “strangle a competitor” by bringing its complaint, Jack adds. |
| 8.08am BST | 8.08am BST |
| 08:08 | 08:08 |
| May 'bitterly disappointed' by tariff move | May 'bitterly disappointed' by tariff move |
| The UK government has hit back against the US Department of Commerce’s decision to imposing a 219% tariff on sales of Bombardier’s C-Series jet to Delta. | The UK government has hit back against the US Department of Commerce’s decision to imposing a 219% tariff on sales of Bombardier’s C-Series jet to Delta. |
| Theresa May says she is “bitterly disappointed” by the move, and pledged to keep working with Bombardier to protect jobs in Northern Ireland. | Theresa May says she is “bitterly disappointed” by the move, and pledged to keep working with Bombardier to protect jobs in Northern Ireland. |
| Bitterly disappointed by initial Bombardier ruling. 1/2 | Bitterly disappointed by initial Bombardier ruling. 1/2 |
| The Government will continue to work with the company to protect vital jobs for Northern Ireland. 2/2 | The Government will continue to work with the company to protect vital jobs for Northern Ireland. 2/2 |
| Unions had urged May to step in to protect Bombardier workers in Northern Ireland. | Unions had urged May to step in to protect Bombardier workers in Northern Ireland. |
| She raised concerns about the future of the factory in a recent phone call with President Donald Trump, and also discussed the issue with Canadian PM Justin Trudeau when she visited Canada this month. | She raised concerns about the future of the factory in a recent phone call with President Donald Trump, and also discussed the issue with Canadian PM Justin Trudeau when she visited Canada this month. |
| Updated | Updated |
| at 8.16am BST | at 8.16am BST |
| 7.59am BST | 7.59am BST |
| 07:59 | 07:59 |
| Introduction: Bombardier jobs at risk after US imposes tariffs | Introduction: Bombardier jobs at risk after US imposes tariffs |
| Good morning, and welcome to our rolling coverage of the world economy, the financial markets, the eurozone and business. | Good morning, and welcome to our rolling coverage of the world economy, the financial markets, the eurozone and business. |
| Thousands of aircraft workers in Northern Ireland have woken up to an uncertain future after the US sided with Boeing in its war against Canada’s Bombardier. | Thousands of aircraft workers in Northern Ireland have woken up to an uncertain future after the US sided with Boeing in its war against Canada’s Bombardier. |
| Donald Trump’s administration have slapped Bombardier with preliminary tariffs of up to 219% on sales of its C-Series jet to the US airline Delta. | Donald Trump’s administration have slapped Bombardier with preliminary tariffs of up to 219% on sales of its C-Series jet to the US airline Delta. |
| This follows allegations from Boeing that Bombardier had unfairly used subsidies from the UK and Canada to sell its regional C-series jets at below cost into the US. | This follows allegations from Boeing that Bombardier had unfairly used subsidies from the UK and Canada to sell its regional C-series jets at below cost into the US. |
| The decision could be a huge blow to Northern Ireland’s economy, as Bombardier is the region’s biggest hi-tech employer, with more than 4,000 workers. | The decision could be a huge blow to Northern Ireland’s economy, as Bombardier is the region’s biggest hi-tech employer, with more than 4,000 workers. |
| Our Ireland correspondent, Henry McDonald, explains how the decision will hurt Bombardier, and how Canada has already hit back: | Our Ireland correspondent, Henry McDonald, explains how the decision will hurt Bombardier, and how Canada has already hit back: |
| If imposed, the duties would more than triple the cost of a C-Series aircraft sold in the US to about $61m per plane, based on Boeing’s assertion that Delta received the planes for $19m each. | If imposed, the duties would more than triple the cost of a C-Series aircraft sold in the US to about $61m per plane, based on Boeing’s assertion that Delta received the planes for $19m each. |
| Bombardier called the decision “absurd and divorced from the reality about the financing of multibillion-dollar aircraft programs”. | Bombardier called the decision “absurd and divorced from the reality about the financing of multibillion-dollar aircraft programs”. |
| Canada’s foreign affairs minister Chrystia Freeland reacted angrily to the decision saying it was “clearly aimed at eliminating” Bombardier’s narrow body jets from the US market. | Canada’s foreign affairs minister Chrystia Freeland reacted angrily to the decision saying it was “clearly aimed at eliminating” Bombardier’s narrow body jets from the US market. |
| We’ll be tracking full reaction to the decision through the day. | We’ll be tracking full reaction to the decision through the day. |
| Also coming up today..... | Also coming up today..... |
| 11am BST: The CBI releases its survey of UK retail sales in September. Volumes are expected to rebound, after shrinking in August. | 11am BST: The CBI releases its survey of UK retail sales in September. Volumes are expected to rebound, after shrinking in August. |
| 1.30pm BST: US durable goods figures for August. Economists expect a small rise, after a surprise 6.8% tumble in July. | 1.30pm BST: US durable goods figures for August. Economists expect a small rise, after a surprise 6.8% tumble in July. |
| 2pm BST: The IMF publishes the Analytical Chapters of the October 2017 World Economic Outlook. They will examine issues including wage dynamics, how low-income countries cope with weather events, and the impact of fiscal policy across countries. | 2pm BST: The IMF publishes the Analytical Chapters of the October 2017 World Economic Outlook. They will examine issues including wage dynamics, how low-income countries cope with weather events, and the impact of fiscal policy across countries. |
| European stock markets are expected to open a little higher. | European stock markets are expected to open a little higher. |
| European opening call @LCGTrading $FTSE +10 points at 7295$DAX +20 points at 12625$CAC +11 points at 5279#EuroStoxx +6 points at 3540 | European opening call @LCGTrading $FTSE +10 points at 7295$DAX +20 points at 12625$CAC +11 points at 5279#EuroStoxx +6 points at 3540 |
| Updated | Updated |
| at 8.02am BST | at 8.02am BST |