14,000 Bombardier jobs saved by court victory on US tariffs

A TRADE dispute that put 14,000 UK aviation jobs at risk was dramatically brought to an end last night.

Bombardier succeeded in overturning tariffs of 292 per cent that Washington had slapped on its C-Series aircraft. The plane’s wings are made in Belfast, where the Canadian firm employs 4,200 workers and supports another 10,000 supply chain jobs.

It was feared the trade case brought by US rival Boeing would devastate the business. Boeing claimed Bombardier had received unfair state support which helped make the C-Series plane cheaper than competitors.

That prompted the US Department of Commerce to propose the huge tariffs.

But the US International Trade Commission voted in Bombardier’s favour during a meeting in Washington. The surprise ruling comes after Theresa May raised the issue with Donald Trump during a meeting at the World Economic Forum in Davos, Switzerland.

The Prime Minister said: ‘I welcome this decision, which is good news for British industry.

‘Bombardier and its innovative workforce play a vital role in the Northern Ireland economy.’ The decision was hailed by union chiefs as ‘sweet relief’.

‘At last there is some good news for our Bombardier workers in Northern Ireland,’ said Michael Mulholland of the GMB.

‘These tariffs would have been nothing short of a disaster for the Northern Ireland economy. This can now be an end to the stress and worry for our members and they can concentrate on the job they’re paid to do.

‘This whole saga must act as a warning to the UK Government about the kind of battles it faces to defend UK jobs and industries as we leave the EU and face the increasingly hostile territory of trade wars on our own.’

Steve Turner of Unite said workers would be ‘breathing a huge sigh of relief’.

Bombardier said the ITC’s decision was ‘a victory for innovation, competition and the rule of law’.

It added in a statement: ‘The CSeries 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.’

Business Secretary Greg Clark said it was excellent news for the workforce in Northern Ireland and supply chain across the UK.

He 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. We are pleased that the ITC have now recognised this.’

Paul Everitt of the ADS, which represents the UK aerospace, defence, security and space sectors, said: ‘This judgment from the US International Trade Commission is positive news that will be warmly welcomed by Bombardier, its workforce in Belfast and the whole supply chain of companies.’

The earlier ruling against Bombardier was an embarrassment for Mrs May after she personally lobbied President Trump over the dispute.

It also marked a major setback to hopes of securing a swift trade deal with the US after Brexit, and put a strain on the Prime Minister’s power-sharing deal with Northern Ireland’s Democratic Unionist Party.

Bombardier recently won a £4.2billion contract to supply 125 C-Series aircraft to Delta Airlines in the US, with the carbon fibre wings due to be built at a £520million factory in Belfast before being shipped to Canada.

Boeing claimed the firm was able to sell the C-Series planes for less than they cost to build thanks to financial help from the Canadian and British governments.

Ministers had threatened to block Boeing from future defence contracts worth billions of pounds unless it backed down.

Boeing said that it was disappointed by the commission’s ruling and would be reviewing its conclusions in detail.

Owen Smith, Labour’s Northern Ireland spokesman, said: ‘ This should be a signal to Theresa May that investing in manufacturing and supporting areas like Northern Ireland should be a priority for her Government.’

‘Innovative and efficient’