CSeries: Delta does not expect to pay duty, but may be a delay in delivery

Photo: John Bazemore Associated Press
The president and chief executive officer of Delta, Ed Bastian, has been disappointed by the decisions of the u.s. department of Commerce.

Delta Air Lines affirms that the quarrel of trade between Bombardier and Boeing could delay deliveries of the CSeries aircraft planned for the next year, but the carrier does not expect to have to pay the rates in punitive 300 % recently imposed by Washington.

 

“Let’s be clear, we’re not going to pay these tariffs,” said president and chief executive officer of Delta, Ed Bastian, Wednesday, during a conference call to discuss results for the third quarter. Questioned by analysts, it has shown to be disappointed by the decisions of the u.s. department of Commerce, which, in its opinion, are not logical. The grand patron of Delta has added that this question, which has important political ramifications, would continue to evolve.

 

Mr. Bastian stated that the range of commercial aircraft of the multinational company in quebec should have access to the u.s. market — the largest air travel market in the world. “We intend to take delivery of the aircraft, he said. I can’t tell you how everything will happen. There may be a delay before you can get the aircraft and we are working with Bombardier, which is a great partner. “

 

According to Mr. Bastian, the carrier set in Atlanta will be able to get its planes ” at the agreed price of the contract with Bombardier. “We’re not going to be forced to pay in rates. Our investors should not worry. “

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In April 2016, Delta had confirmed the purchase of 75 aircraft CS100, an order the value of which, according to catalogue prices, is estimated at US $5.6 billion. This command was also with options for 50 CS100 or CS300 additional. The first deliveries should begin in the spring.

US $5.6 billion

This is the estimated amount of the order of the CSeries aircraft by Delta

Bombardier did not want to comment on the timetable for the delivery of the CSeries in Delta, claiming that it was commercial details confidential, explained by e-mail to a spokesman, Simon Letendre. He reiterated the commitment of the carrier to the place of the family of commercial aircraft from the aircraft manufacturer in quebec, adding that the recent decisions of Washington were preliminary. “They will only be effective if they are confirmed by the international trade Commission of the United States. We remain confident that the Commission will draw the necessary conclusions, whereas Boeing was not in the race to win the order of Delta and has not suffered any prejudice. “

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