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Citing high cost, President-elect says Boeing contract should be cancelled

The turbulence began with one of US President-elect Donald Trump’s signature tweets of wrath: a public jab at Boeing alleging the cost of building Air Force One was out of control.

That came an hour after Boeing’s chief executive was quoted questioning Trump’s stance on trade.

Later, Trump directed his attention elsewhere, taking credit in a surprise announcement for a Japanese conglomerate’s months-old pledge to in- vest US$50 billion in the US.

In the raucous hours in between, a top Trump aide announced offhandedly that, months before, Trump had sold his entire stock portfolio, which some ethics advisers had worried could raise questions about conflicts of interest during his presidency.

It was a day of big pronouncements and few details, leaving many wondering whether this would be the unusual and unpre- dictable way that Trump will govern when he takes office next month.

That style, including his opaque personal financial dealings and his sudden shots at certain companies, has helped unnerve a corporate America that traditionally craves stability. Some business leaders and economists have worried whether executives can speak their minds about the President-elect or his policies without fear of facing Trump’s rage.

“Twisting people’s arms is inherently problematic” for a president, said Gregory Mankiw, a professor of economics at Harvard who served as chairman of the Council of Economic Advisers under President George W. Bush. “The president has so much power, you always wonder if there’s some implicit threat to individuals, and that goes beyond what I think a limited government should do.” Trump had tweeted about Boeing: “Cancel the order!”

Speaking to reporters later in the lobby of Trump Tower, he said the effort to build the plane “is totally out of control. It’s going to be over US$4 billion for the Air Force One programme, and I think that’s ridiculous. I think Boeing is doing a little bit of a number.” The contract with Boeing is currently US$170 million. The Government’s plan to replace Air Force One actually involves two different planes which would serve future