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Bombardier caught in the crossfire of escalating U.S.-Canada trade feud

September 8, 2026 / 3:27 PM EDT / CBS News

By Megan Cerullo Reporter, MoneyWatch
Megan Cerullo is a New York-based reporter for CBS MoneyWatch covering small business, workplace, health care, consumer spending and personal finance topics. She regularly appears on CBS News 24/7 to discuss her reporting.

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Canadian aircraft maker Bombardier is an emblem of the intricate economic relationship between the U.S. and its northern neighbor, and a prime example of how the countries’ escalating trade feud can ensnare employers with thousands of workers on both sides of the border.

On Truth Social, Mr. Trump threatened on Monday to block the Montreal-based company’s sales in the U.S. if it doesn’t manufacture its aircraft in America.

“NO MORE SELLING BOMBARDIER IN THE UNITED STATES! Their products aren’t good enough!” Mr. Trump posted hours before Canadian tariffs on $20 billion in U.S. goods took effect just after midnight on Tuesday. “If they want our Market, they must build here, and stop treating America like a ‘piggybank.’”

Wall Street analysts said it’s unclear if Mr. Trump could legally ban Bombardier from selling its planes to U.S. customers, and noted that such a move would hurt domestic suppliers and buyers at a time of strong demand for private jets.

The business jet “market remains historically tight, and a ban on Bombardier products would severely disrupt U.S. customers” who already face multi-year waits for private jets, analysts with investment bank Stifel said in a report.

The White House didn’t immediately respond to a request for comment.

Bombardier shares fell roughly 3% on Tuesday following Mr. Trump’s threat. Here’s what to know about the company.

What does Bombardier do?

Bombardier is among the top three business jet manufacturers globally, specializing in medium- and large-size aircraft. The company manufactures and assembles its jets at plants in Canada, the U.S. and Mexico.

Bombardier primarily sells private and commercial jets to individuals, businesses, governments, and military forces worldwide. High-net-worth individuals account for roughly 60% of its customers.

Bombardier’s customers include carriers such as American Airlines and U.S. federal agencies, including the U.S. Department of Defense and Federal Aviation Administration. The Defense Department uses Bombardier planes to conduct intelligence, surveillance, and reconnaissance operations because they can fly fast at high altitudes, Stifel analysts said.

High-net-worth individuals in the U.S. have driven a surge in demand for private jets, benefiting Bombardier and its competitors, including Gulfstream.

“The COVID-19 pandemic has triggered a step-change for private aviation, spawning a new cohort of flyers through record wealth creation and the proliferation of the fleet/charter business model,” Stifel said.

How many workers does Bombardier have in the U.S.?

In a statement on Monday following Mr. Trump’s post, Bombardier sought to underline its contributions to the American economy, saying it accounts for “tens of thousands of jobs across the United States.”

Bombardier said it has workers in 20 U.S. states and plants in Arizona, California, Connecticut, Delaware, Florida, Illinois, Kansas, New Jersey, Texas and Washington, D.C. The company’s supply chain also comprises 2,800 U.S. companies in 47 states, according to Bombardier.

“Bombardier values its great partnership with American companies and its U.S. employees. Our plan is to continue to invest in our people, our customers and the communities in which we operate across the country,” the company said.

How much business does Bombardier do with the U.S.?

Bombardier said in its statement that the company spends over $2.5 billion with U.S. suppliers annually. It has headquarters in Wichita, Kansas, while its Challenger Jets are powered by American-made engines from U.S. aerospace manufacturer Honeywell, which are made in Phoenix, Arizona.

Wings for Bombardier planes are made at the company’s facility in Red Oak, Texas, while flight control components are manufactured at its Los Angeles, California, area facility. Bombardier also operates service centers in Dallas, Texas; Hartford, Connecticut; Miami, Florida; Tucson, Arizona; and Wichita, Kansas.

In January, Bombardier said it was investing to expand its U.S. operations, including opening a new facility in Fort Wayne, Indiana.

Bombardier sources more than 50% of its aircraft components from U.S. manufacturers — more than American competitors such as Gulfstream, according to Stifel.

Can Trump block Bombardier sales in the U.S.?

Whether the U.S. could enforce Mr. Trump’s threat against Bombardier “is a question mark,” Stifel analysts said, noting that buyers could take delivery of its aircraft offshore under a foreign registry.

Yet White House pressure could still affect Bombardier’s business.

“[W]e acknowledge that continued rhetoric by President Trump could temper near-term order flow until a firm trade agreement between the U.S. and Canada is in place.”

Edited by Alain Sherter

https://www.cbsnews.com/video/canada-matches-trump-steep-us-tariffs-in-ongoing-trade-war/

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