Delta part of resistance? 'We are not going to pay any tariff,' Delta CEO says of CSeries planes

shockedcanadian

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Aug 6, 2012
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If I'm Trump, I immediately increase tariffs 50% on C-Series, make Chair of the Board of Delta know that U.S government is going to "re-allocate" 25% of government Delta investment/tax benefits and ask border to deny entry of this product until Delta pays what they owe.

I then ask FBI to ensure they conduct proper oversight on the deal of the C-Series and see if anyone had their palms greased and/or any other bribes or gifts given by the Canadian government or Bombardier. Start with the executive decision maker who signed off on the deal. Knowing Canadian state tactics, that's a great start.

'We are not going to pay any tariff,' Delta CEO says of CSeries planes

The head of Delta Air Lines says his company does not expect to pay any tariffs related to its purchase of CSeries jets from Montreal-based Bombardier, but expects to complete the order as planned.

Speaking with analysts and reporters on a conference call to discuss the airline's quarterly results on Wednesday, Ed Bastian was asked about two recent U.S. rulings that slapped punitive tariffs adding up to more than 300 per cent on the company's recent purchase of up to 125 CSeries jets.

The Department of Commerce recently slapped a 220 per cent countervaling duty on the jets and an80 per cent anti-dumping duty after American plane maker Boeing Co. complained about being unfairly disadvantaged by the deal.

Bombardier is appealing both rulings and the governments of Canada and the United Kingdom are both threatening retaliation in the matter, and the airline's CEO expressed confidence that the tariffs won't come to pass, one way or the other.

'We are not going to pay any tariff, and we do expect to take the airplanes," Bastian said.

Bastian said he thinks Boeing's argument is without merit, because both tariffs are based on the notion that Boeing suffered financial harm because of Bombardier's actions.

"In our opinion it is very difficult for Boeing or any U.S. manufacturer to claim harm with a product we purchased that they don't offer," Bastian said of the CSeries jets, the smallest of which is a 108-seater. Boeing currently doesn't make any planes that small. The closest they had to it, the 717, ceased production a decade ago.

"To us it's unrealistic, a bit nonsensical," he said. "But we are working closely with our partners at Bombardier."

"We will not pay the tariffs that are being discussed or debated," which Bastian stressed were "preliminary."
 
So to make sure I understand. Delta wanted small regional class of jets. Boeing does not sell any. Airbus doesn’t sell any. But it is unfair for Delta to buy the jets they want instead of the ones they don’t want. Um. What?

That’s like Cadillac complaining because someone bought an Audi A-8 with the W12 motor. Cadillac doesn’t offer a W12 or Twelve cylinder motor period. But it’s unfair for the customer to buy what he wants instead of what we offer. I’ve heard this song before. It was during the 1970’s when Detroit complained about the foreign four cylinder engines cars. It wasn’t fair for the Japanese to make a product the customer wanted.
 
So to make sure I understand. Delta wanted small regional class of jets. Boeing does not sell any. Airbus doesn’t sell any. But it is unfair for Delta to buy the jets they want instead of the ones they don’t want. Um. What?

That’s like Cadillac complaining because someone bought an Audi A-8 with the W12 motor. Cadillac doesn’t offer a W12 or Twelve cylinder motor period. But it’s unfair for the customer to buy what he wants instead of what we offer. I’ve heard this song before. It was during the 1970’s when Detroit complained about the foreign four cylinder engines cars. It wasn’t fair for the Japanese to make a product the customer wanted.

There is a comparable one made by Boeing, I don't have all the details in front of me, but I'm basing this on a posting from an American on another forum, I believe he suggested it had different seating and a few other differences.

Here is the question you have to ask, and I know this from working in a technical company in the past; Delta could easily do a Request For Proposal that would make it impossible for any other company to meet the specs. This is a classic trick ,could be as simple as "we require a 28 seat plane, while Boeing say, offers only a 26 plane in that series, while Bombardier offers, wouldn't you know? Exactly a 28 seat plane!"

This would of course occur, after some palms were greased, some gifts given and some promises made to decision makers, Bombadier steals some business. Trump is a businessman, surrounded by businessmen, do you not think he understands all of these shenanigans better than most? Boeing has been burned by European companies entering the market and undercutting them after massive state support that goes well beyond what Boeing is given. De facto ownership, as Canada has of bombardier, of this you can be sure. So, it is Boeing vs state owned Bombardier and state owned Euopean companies.

Until America recovers from the massive loss of jobs and debt, you need to force capitalism on other industries, even if this means, yes, some protectionism. It's an unfortunate result of 30 years of exploitation by foreign governments.
 
So to make sure I understand. Delta wanted small regional class of jets. Boeing does not sell any. Airbus doesn’t sell any. But it is unfair for Delta to buy the jets they want instead of the ones they don’t want. Um. What?

That’s like Cadillac complaining because someone bought an Audi A-8 with the W12 motor. Cadillac doesn’t offer a W12 or Twelve cylinder motor period. But it’s unfair for the customer to buy what he wants instead of what we offer. I’ve heard this song before. It was during the 1970’s when Detroit complained about the foreign four cylinder engines cars. It wasn’t fair for the Japanese to make a product the customer wanted.

There is a comparable one made by Boeing, I don't have all the details in front of me, but I'm basing this on a posting from an American on another forum, I believe he suggested it had different seating and a few other differences.

Here is the question you have to ask, and I know this from working in a technical company in the past; Delta could easily do a Request For Proposal that would make it impossible for any other company to meet the specs. This is a classic trick ,could be as simple as "we require a 28 seat plane, while Boeing say, offers only a 26 plane in that series, while Bombardier offers, wouldn't you know? Exactly a 28 seat plane!"

This would of course occur, after some palms were greased, some gifts given and some promises made to decision makers, Bombadier steals some business. Trump is a businessman, surrounded by businessmen, do you not think he understands all of these shenanigans better than most? Boeing has been burned by European companies entering the market and undercutting them after massive state support that goes well beyond what Boeing is given. De facto ownership, as Canada has of bombardier, of this you can be sure. So, it is Boeing vs state owned Bombardier and state owned Euopean companies.

Until America recovers from the massive loss of jobs and debt, you need to force capitalism on other industries, even if this means, yes, some protectionism. It's an unfortunate result of 30 years of exploitation by foreign governments.

Yes, and no. The largest C series plane is about the same size as the smallest 737. Now it isn’t just that the airplane is sort of similar. It is also service and the fleet mentality. Trucking companies try to stay with a single type of truck. Let’s use Fereightliner. This way they have an easier time with maintenance. They don’t need parts for Peterbuilt, Volvo, Western Star, or anything else. Their mechanics can be certified as Freightliner technicians with ease, and problems can be anticipated as the first trucks start to experience the issues.

So the smallest C series plane would be half again larger if they went with the smallest 737. Perhaps they break it up, and further lose the fleet advantage they were striving for. Now Bombardier claims their plane is more efficient and has a 99.5% reliability two years after being handed over. A truck makes money when the tires are rolling. A plane makes money in the air. So reliability is a major issue for companies.

Bombardier says their planes use 15% less fuel. Perhaps they do. But that fuel savings could easily add up to millions of dollars at the end of the year.

Perhaps there were favors. Perhaps the deal was sealed over hookers on a private island in the Caribbean. Perhaps the deal was sealed with a head bobbing up and down and the Purchaser for Delta said “God Yes” as he tensed. The issue is the decision. If Bombardier can back up their claims of efficiency and reliability then Boeing has an issue all right. The issue is sore looser.
 
If I'm Trump, I immediately increase tariffs 50% on C-Series, make Chair of the Board of Delta know that U.S government is going to "re-allocate" 25% of government Delta investment/tax benefits and ask border to deny entry of this product until Delta pays what they owe.

I then ask FBI to ensure they conduct proper oversight on the deal of the C-Series and see if anyone had their palms greased and/or any other bribes or gifts given by the Canadian government or Bombardier. Start with the executive decision maker who signed off on the deal. Knowing Canadian state tactics, that's a great start.

'We are not going to pay any tariff,' Delta CEO says of CSeries planes

The head of Delta Air Lines says his company does not expect to pay any tariffs related to its purchase of CSeries jets from Montreal-based Bombardier, but expects to complete the order as planned.

Speaking with analysts and reporters on a conference call to discuss the airline's quarterly results on Wednesday, Ed Bastian was asked about two recent U.S. rulings that slapped punitive tariffs adding up to more than 300 per cent on the company's recent purchase of up to 125 CSeries jets.

The Department of Commerce recently slapped a 220 per cent countervaling duty on the jets and an80 per cent anti-dumping duty after American plane maker Boeing Co. complained about being unfairly disadvantaged by the deal.

Bombardier is appealing both rulings and the governments of Canada and the United Kingdom are both threatening retaliation in the matter, and the airline's CEO expressed confidence that the tariffs won't come to pass, one way or the other.

'We are not going to pay any tariff, and we do expect to take the airplanes," Bastian said.

Bastian said he thinks Boeing's argument is without merit, because both tariffs are based on the notion that Boeing suffered financial harm because of Bombardier's actions.

"In our opinion it is very difficult for Boeing or any U.S. manufacturer to claim harm with a product we purchased that they don't offer," Bastian said of the CSeries jets, the smallest of which is a 108-seater. Boeing currently doesn't make any planes that small. The closest they had to it, the 717, ceased production a decade ago.

"To us it's unrealistic, a bit nonsensical," he said. "But we are working closely with our partners at Bombardier."

"We will not pay the tariffs that are being discussed or debated," which Bastian stressed were "preliminary."

Thank you for your opinion HERR HITLER. Trump does not have the authority to do anything you suggest nor should he. The fact is that Trump has bought people off so maybe he should be investigated.
 

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