No Section 232 Tariffs on Aircraft and Engines as U.S. Pursues Negotiations

President Trump issued July 9 a proclamation that declines to impose Section 232 tariffs on imports of commercial aircraft, jet engines, and their associated parts despite a Department of Commerce determination that such goods are being imported in such quantities and under such circumstances as to threaten to impair U.S. national security.

Instead, the proclamation directs the DOC and the Office of the U.S. Trade Representative to jointly negotiate agreements with trading partners that address the impact of foreign imports on the health of the U.S. commercial aerospace industry.

If those agreements are not entered into within 180 days, are not being carried out, or are ineffective, the president may take other actions to adjust imports of subject goods to eliminate any threat to U.S. national security.

Further Section 232 actions on subject goods (e.g., import tariffs) also remain a possibility if the president is informed of any circumstances that might indicate the need for such actions.