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China Tariffs Could Hurt More Than First Thought
The 25 percent tariff on imports proposed by China on new U.S.-built aircraft with empty weights from 15,000 kg (33,069 pounds) to 45,000 kg (99,208 pounds) as part of an escalating potential trade war with the Trump Administration could prove more problematic for Boeing than most aerospace industry observers believe, according to UK aviation technical consulting firm IBA Group. (www.ainonline.com) Altro...
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Anyone who thinks this mess is going to end well for the US is badly informed when it comes to Economics, Tariffs and the use of Tariffs in foreign policy. Unless Congress suddenly grows a set and moves to block these Tariffs, everything, and I mean EVERYTHING you buy is going to cost 25% or more and the unemployment lines are going to start growing, Biggly! Oh, so Biggly!!
China tariffs on aircraft will hurt not at all - just set up a lease purchase - no tariff.
Set up a lease - no tariff
set up a corporation outside china to hold title - no tariff
95% of airline aircraft are held by a trust anyway -
I can keep going here - but you can see the resolution of the problem. You fly the airplane to South Korea - transition ownership there - problem solved.
Set up a lease - no tariff
set up a corporation outside china to hold title - no tariff
95% of airline aircraft are held by a trust anyway -
I can keep going here - but you can see the resolution of the problem. You fly the airplane to South Korea - transition ownership there - problem solved.
But aluminum alloy price will go up so Boeing will need to pay more for things they make themselves and US made parts.
Doesn't work that way - aircraft would have to be registered in China - no way around the tariff. The same thing applied when US temporarily put 300% tarif on Bombardier - there was no way for Delta to get around the tariff by leasing aircraft off shore
Might want to wait and see instead of trying to out guess things don't think you are as equipped as Trump to do so. Seems the china bunch is doing what Trump wanted to work with him on a solution not some short term thing. Unlike the demos who only thing tax the public and don't rile them.
