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

Bombardier has become a high-profile casualty of the escalating trade dispute between the United States and Canada. President Donald Trump threatened on Truth Social to block the Montreal-based aircraft maker from selling planes in the United States unless it manufactures them in America.

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

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NO MORE SELLING BOMBARDIER IN THE UNITED STATES! Their products aren't good enough!

Wall Street analysts questioned whether Trump could legally ban Bombardier from selling to U.S. customers. They also said such a move could damage American suppliers and buyers while the private-jet market remains tight. Customers already face waits of several years for private aircraft, analysts at investment bank Stifel said, warning that a ban would "severely disrupt U.S. customers." Bombardier shares fell about 3% on Tuesday after Trump's threat. The White House did not immediately respond to a request for comment.

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If they want our Market, they must build here, and stop treating America like a 'piggybank.'

Bombardier ranks among the world's three largest business-jet manufacturers, focusing on medium- and large-size aircraft. It manufactures and assembles planes at facilities in Canada, the United States and Mexico, then sells private and commercial jets to individuals, companies, governments and military forces worldwide. Wealthy individuals make up about 60% of its customers. Its clients also include American Airlines and U.S. federal agencies such as the Department of Defense and the Federal Aviation Administration.

The Defense Department uses Bombardier aircraft for intelligence, surveillance and reconnaissance missions because the planes can fly quickly at high altitudes, Stifel analysts said. Demand from wealthy U.S. buyers has also helped Bombardier and competitors such as Gulfstream. Stifel said the COVID-19 pandemic created a new group of private-aviation users through rising wealth and the expansion of fleet and charter business models.

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The market remains historically tight, and a ban on Bombardier products would severely disrupt U.S. customers.