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Brazil's Embraer cheers U.S. decision on Bombardier subsidies

Published 2017-09-26, 07:11 p/m
© Reuters.  Brazil's Embraer cheers U.S. decision on Bombardier subsidies
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SAO PAULO, Sept 26 (Reuters) - Brazilian planemaker Embraer SA EMBR3.SA cheered a decision by the U.S. Department of Commerce on Tuesday to slap preliminary anti-subsidy duties of 220 percent on CSeries jets made by Bombardier Inc BBDb.TO after U.S. rival Boeing (NYSE:BA) Co BA.N claimed the aircraft were unfairly subsidized by Canada. said in an emailed statement that the U.S. decision reinforces Brazil's argument before the World Trade Organization that Bombardier's subsidies violate Canada's trade obligations.

However, one aircraft industry source said the ruling was a mixed result for Embraer, since it might scare off airlines from buying its jets for fear of drawing similar trade reprisals.

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