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Theresa May Needs Trump's Help In Saving Thousands Of Job

Theresa May Needs Trump's Help In Saving Thousands Of Job

President Donald Trump could find himself in an awkward position amid a trade dispute between rival plane makers. U.K. Prime Minister Theresa May is requesting that Trump assert himself in a court dispute between American-based Boeing Co (NYSE: BA) and Canada's Bombardier Inc (OTC: BDRBF).

Boeing has accused Bombardier of receiving illegal state support and aid for its C-series plane, including a $150 million loan it received from the British government. While the International Trade Commission has yet to make a ruling, it is possible that if Bombardier is found to be guilty of improper state aid, it may have no choice but to close a factory in Belfast, Ireland, that employs more than 4,000 workers.

May's government is now heavily reliant on support from the Northern Ireland's Democratic Unionist Party, and a loss of thousands of jobs in Belfast will jeopardize her party, Bloomberg suggested.

May spoke with the American president on Sept. 5 and hopes Boeing no longer seeks legal remedies with Bombardier and instead attempts to reach a negotiated settlement.

From Boeing's point of view, the company is merely looking to create a "level playing field" in the single-aisle plane market. Boeing believes that its Canadian rival is able to sell its C-series planes at "absurdly low prices."

"We believe that global trade only works if everyone plays by the same rules of the road, and that's a principle that ultimately creates the greatest value for Canada, the United Kingdom, the United States and our aerospace industry," Boeing said in a statement obtained by Bloomberg.

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Image Credit: By The White House from Washington, DC (Foreign Leader Visits) [Public domain], via Wikimedia Commons


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