Categories: Aviation Policy & Trade

Trump Threatens 50% Tariffs on Canada-Made Aircraft After Decertification Move

Trump Threatens 50% Tariffs on Canada-Made Aircraft After Decertification Move

HOUSTON — In a surprise escalation of trade tensions and aviation policy, former President Donald Trump announced plans to decertify all aircraft manufactured in Canada and threatened a hefty 50% tariff on those planes. He said the move would remain in place until American-made Gulfstream jets receive full certification within Canada, a shift that could reshape cross-border aviation and trade dynamics between the two allies.

A spokesperson for the former president said the decertification order would apply broadly to Canadian aerospace products that rely on shared supply chains and international certification standards. Trump argued the policy is necessary to protect American aerospace jobs and ensure U.S. standards are respected in the global market. He tied the decertification to an ongoing dispute over regulatory alignment and perceived imbalances in aviation safety oversight, saying Canadian manufacturers have benefited from favorable treatment that he described as inadequate disclosure of testing results and certification timelines.

The announcement drew immediate reactions from industry groups and policy analysts. Proponents of decertification view the move as a lever to force Canada into more stringent alignment with U.S. standards on aircraft safety, labor practices, and export controls. Critics, however, warn of significant disruption for airlines, freight operators, and manufacturing supply chains that rely on Canadian-made components and widely used business jets produced by Canadian subsidiaries of American firms.

At the heart of the discussion is the Gulfstream fleet, a staple of high-end corporate travel and a centerpiece of U.S. aerospace leadership. Trump stated that the decertification would be reversed only after Gulfstreams manufactured or certified in the United States meet rigorous standard checks in Canada. He contended this is necessary to ensure “reciprocal” certification behavior between the two countries, arguing that American regulators should maintain exclusive authority over the most sensitive aviation safety assessments.

The proposal would complicate procurement for airlines and private operators who rely on a steady supply of Canadian-made aircraft and components. Some industry insiders predict that, if implemented, the policy could trigger a rapid shift toward domestically produced or U.S.-certified models, as operators seek to avoid the risk of landing high-tariff penalties or regulatory bottlenecks. Others worry about the potential for a prolonged stalemate that could impede maintenance, spares availability, and aftermarket services for existing Canadian aircraft fleets.

Legal experts cautioned that decertification of an entire national aircraft sector could invite challenges at the World Trade Organization and domestic courts. They noted that such a sweeping move would require a robust legal framework to withstand challenges regarding due process, international obligations, and potential retaliation. Policy makers may also weigh the broader economic impact, as Canada remains a crucial ally with strong defense, energy, and trade ties with the United States.

Beyond aviation policy, the statement raises questions about how far presidential authority can extend into cross-border manufacturing standards, and whether diplomacy or multilateral routes will offer a faster path to resolution. Analysts emphasize that any lasting decision could have ripple effects for investment confidence, staffing, and cross-border research collaborations in aerospace R&D projects.

As this developing story unfolds, industry observers await clarification on the scope of decertification, the specific certifications cited, and the timeline for any changes in regulatory alignment. Stakeholders on both sides of the border are watching closely for signals about how aviation policy, trade rules, and national security concerns will intersect in future negotiations.

What this means for travelers and business leaders remains uncertain. If the decertification goes into effect or if tariffs are imposed, airlines and corporate flight departments may reassess fleets, procurement strategies, and maintenance partnerships in North America. Stakeholders urged policymakers to consider phased approaches, impact analyses, and contingency plans to minimize disruption while pursuing long-term alignment on aviation safety standards.