Pressure mounts on Boeing over Belfast jobs fear
THERESA May will meet Canadian prime minister Justin Trudeau in Ottawa tomorrow to discuss joint action to ramp up pressure on Boeing in a dispute that threatens 4,500 jobs in Northern Ireland.
The US plane maker claims Canadian rival Bombardier is selling its C-Series jets, whose wings are made in Belfast, at below cost price in the US. It alleges Bombardier received unfair subsidies from the US and Canadian governments in a 2016 deal with US carrier Delta.
UK Government sources said the two Prime Ministers were in agreement that Boeing should back off.
A ruling is expected from the US Department of Commerce on September 25 over Boeing’s claim. This could hit Bombardier with punitive tariffs, which would make it difficult to sell the jets in the US and could risk its future.
Bombardier, which announced 95 job cuts in Belfast last week, describes the allegations as ‘absurd’. It said it complied with all relevant laws in its funding arrangements.
Gavin Robinson, the DUP MP for Belfast East, who sits on the Commons Defence Committee, said the Government should warn Boeing that if it does not withdraw its complaint it could have an effect on defence orders. The UK is buying 50 Boeing Apache attack helicopters and nine Poseidon maritime surveillance aircraft. Canada is buying Boeing F16 fighter jets.
‘Boeing has been reminded at the Ministry of Defence level that we are a very big customer,’ he said.
He also warned that should the ruling put Bombardier at risk, the Chinese could buy it and gain access to its technological prowess.
Boeing said that it ‘had to take action as subsidised competition has hurt us now and will continue to hurt us for years to come’. Mrs May has spoken to US President Donald Trump over the case and leaders of the DUP and Sinn Fein have written to the Vice-President. The Government said: ‘Our priority is to encourage Boeing to drop its case and seek a negotiated settlement with Bombardier.’