End result is that Bombardier suffered a huge loss, had to sell IP to airbus (joint venture deal), prices to end consumer are higher, and aviation manufacturing competition is stiffed.
End result is that Bombardier suffered a huge loss, had to sell IP to airbus (joint venture deal), prices to end consumer are higher, and aviation manufacturing competition is stiffed.
I am a free-trader, and think all tariffs are bad, but Boeing acted in the spirit of that law.
Bombardier's aspirations were stymied by an incredibly expensive certification process, which they underestimated.
The A220 has something like 600+ firm orders from what I recall. It's going to be hugely profitable and Airbus is basically making all the profits. Was it politically motivated? Why wouldn't Canada want an aerospace sector?
I'm failing to see how this wasn't a sure bet...
Oil and gas, Hydro power in Newfoundland and auto plants all got bailed out.
I'm surprised they would give up support for a cutting edge industry like aerospace. That type of expertise will be almost impossible to rebuild.
[1] https://www.theglobeandmail.com/business/article-world-bank-... [2] https://globalnews.ca/news/3354398/bombardier-trudeau-hammer... [3] https://www.cbc.ca/news/canada/montreal/bombardier-what-happ...