US finds security risks in aircraft imports, avoids new tariffs

The US Commerce Department completed its probe into imported aircraft, engines and parts, and found security concerns but recommended no immediate tariffs. The decision keeps pressure on trading partners through talks while reflecting industry warnings over costs, safety and supply chains.

In Short

• US Commerce Department ends probe on imported aircraft and parts
• Finds foreign imports raise US national security concerns
• Trump aims to negotiate trade deals to protect US aerospace

The US Commerce Department said on Thursday it had completed a probe into imported commercial aircraft, jet engines and parts and found foreign goods raise US national security concerns but the Trump administration is not seeking new tariffs.

Under heavy lobbying by the US aviation sector, the Trump administration agreed to exempt airplanes and parts from tariffs as part of trade deals after briefly imposing tariffs on aviation last year.

The report, which stems from a probe opened last year, found the US aircraft industry "is too reliant on foreign supply chains, raising national security concerns," and cited risks from imported aircraft parts because of quality control and counterfeiting.

But US Commerce Secretary Howard Lutnick recommended that no immediate tariffs be imposed, the White House said.

President Donald Trump directed negotiations with trading partners to address the impact of foreign imports on the health of the US commercial aerospace industry and said he could take action without agreements within six months.

"Competitive pressure from lower-cost foreign suppliers also forces United States firms to keep wages stagnant or limit hiring, making aircraft manufacturing jobs less appealing compared to other industries," the report said.

Airplanes and parts have enjoyed a tariff-free regime under the 1979 Civil Aircraft Agreement, in which the US sector enjoyed a $75 billion annual trade surplus.

Trump has made Boeing airplane sales a key component of trade deals and often bragged about how many planes he has helped sell to foreign countries.

Delta Air Lines DAL N and major trade groups warned last year of airplane tariffs' impact on ticket prices, aviation safety and supply chains.

Airbus Americas AIR.PA also warned last year that tariffs would put US plane making at risk.

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