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Canadian Plane Company Bombardier Wins Trade Fight With Boeing

A U.S. trade panel has thrown out accusations that Canadian subsidies to Bombardier unfairly hurt rival planemaker Boeing's business.

By Matt Picht | January 26, 2018

Canadian plane company Bombardier has won its trade dispute with Boeing, after a surprise ruling from the U.S. International Trade Commission.

The case stemmed from Boeing's accusations that Canada was unfairly subsidizing Bombardier's C Series jets. Boeing said Bombardier's cheap planes ended up cutting into the U.S. market for similar Boeing planes.

The victory means Bombardier won't have to pay a nearly 300 percent tariff on C Series planes it shipped to the U.S. That tariff could have been a serious friction point in an already fraying trade relationship between the U.S. and Canada.

Bombardier declared the ruling "a victory for innovation, competition, and the rule of law" in a statement, while Boeing vowed it will "not stand by as Bombardier's illegal business practices continue to harm American workers."