Aerospace Industry Braces for Turbulence Amid U.S.-EU Trade Tensions

The aerospace industry faces challenges as the U.S. imposes tariffs on the EU, including speeding a potential trade war. Airbus calls for EU retaliation while considering impacts on European companies. Supply chains remain fragile after COVID-19, with potential disruptions in costs and operations for airlines and manufacturers.

The aerospace industry is navigating turbulent skies as an Airbus-led coalition urges a response to U.S. President Donald Trump's tariffs. Europe's major airline warns of a fare hike amid rising costs on aircraft and components.

President Trump recently enacted extensive tariffs on EU goods, impacting a $150 billion jet industry crucial to the global economy. This move intensifies long-standing trade tensions involving major players Airbus and Boeing.

With fragile post-pandemic supply chains, the industry remains cautious to avoid deeper trade conflicts. French aerospace advocates call for proportional countermeasures that shield European importers. As stakeholders brace for higher costs, airline fares may rise, affecting international travel networks.

(With inputs from agencies.)