Canada is following through on its threat to abandon plans to purchase 18 Boeing Super Hornet fighter jets. Canadian has said for months it might cancel the planned purchase because of a dispute between Boeing and Bombardier, a Canadian aircraft maker. Now, Commerce has indicated that an anti-dumping penalty of 79.82% should be added to the duty.
Reuters, citing three sources familiar with the matter, reported that an announcement will be made next week. The Trump Administration has fostered doubt about its commitment to the free-trade agreement, arguing it has had a negative effect on domestic manufacturing jobs.
Last year, Canada announced plans to buy 18 Super Hornets as an interim solution for replacing a subset of the CF-18 Hornet fleet due for retirement within five years, but talks with Boeing over the planned acquisition were suspended by Canada after Boeing accused Bombardier in April of dumping its jet into the USA market after receiving unfair subsidies from the Canadian government.
The Australian jets are being considered as interim fighters.
Trump heading to MS for civil rights museum opening
The general history museum includes depictions of Native American culture, European settlement, slavery, the Civil War and Reconstruction.
The move to try to acquire fighter jets from Australia coincides with the US government's decision, based on a Boeing complaint, to hit Bombardier with nearly 300 per cent duties on its CSeries civilian passenger jet.
In buying older Australian Super Hornets, Canada would be buying a cheaper aircraft, not need to retrain its pilots, nor spend money on a new supply chain, one source said.
Canada was looking to buy the Boeing aircraft as a placeholder for its fleet until a competition in 2019 to replace its ageing CF-18 jets.
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