Airbus Boss Takes Aim at Trump's Trade Stance
January 15 2018 - 7:08PM
Dow Jones News
By Robert Wall
Airbus SE Chief Executive Tom Enders has flatly accused the
Trump administration of protectionism, while criticizing rival
Boeing Co. for exploiting such sentiments.
Foreign politicians and executives, in particular, have been
wary of Washington's new "America First" trade stance, a policy
critics say has been a stark departure from previous U.S.
administrations' relative embrace of international trade.
Mr. Enders, speaking Monday night in London at an event
sponsored by Britain's aerospace and defense industry trade body,
said the U.S. "is no longer fighting for free trade." Instead, he
said, the Trump administration was taking actions to close the U.S.
market to foreign competitors.
The Office of the U.S. Trade Representative, in its national
trade assessment last year, said the administration would
"aggressively enforce U.S. trade laws and defend American workers
from harmful trade barriers to promote free and fair trade that
benefits all Americans."
Airbus builds airliners in France, Germany, China and the
U.S.
Mr. Enders, who will leave his post next year, also criticized
Boeing, the world's No. 1 plane maker by deliveries. He said Boeing
was "ruthlessly surfing on this 'America First' wave." He said his
Chicago-based rival has taken advantage of protectionist sentiment
in steps that could have short-term benefits but pose a risk to
trans-Atlantic industrial ties. He called Boeing's actions
self-defeating.
Boeing said it "believes in strong competition, rules-based
trade and a level playing field for all in the industry."
Competitors have to play by trade rules, it said, adding that those
that don't "are the ones that are 'taking advantage' and harming
the wider industry."
The global commercial jet industry has become an international
flashpoint for Mr. Trump's trade stance. Boeing has accused
Canadian plane maker Bombardier Inc. of selling its new CSeries
plane below cost last year to Delta Air Lines Inc. Bombardier said
it had given discounts typical for the aircraft industry. Delta has
backed Bombardier, arguing Boeing had no rival plane to offer.
The U.S. Commerce Department has sided with Boeing, saying it
plans to slap tariffs totaling 300% on the CSeries aircraft.
Amid that skirmish, Airbus last year agreed to take over
controlling interest in the CSeries program, working with
Bombardier. Airbus has said it would assemble such planes bought by
U.S. airlines at its manufacturing facility in Mobile, Ala., to
avoid the tariffs.
A decision on whether to impose the tariffs now depends on the
U.S. International Trade Commission, which must decide in the
coming weeks if Boeing was harmed by Bombardier's deal.
Write to Robert Wall at robert.wall@wsj.com
(END) Dow Jones Newswires
January 15, 2018 18:53 ET (23:53 GMT)
Copyright (c) 2018 Dow Jones & Company, Inc.
Boeing (NYSE:BA)
Historical Stock Chart
From Mar 2024 to Apr 2024
Boeing (NYSE:BA)
Historical Stock Chart
From Apr 2023 to Apr 2024