By Scott Hamilton
March 3, 2020, © Leeham News: The US Customs and Border Patrol collected $277m in tariffs last year in connection with the Airbus trade war.
But only $22.1m was from tariffs placed directly on Airbus airplanes imported into the United States, LNA learned.
Information obtained by LNA confirmed that most of the tariffs were levied on industries and products unconnected to Airbus.
The tariffs, which are taxes by another name, represent the 10% levy imposed by the Trump Administration in October. This tariff was authorized by the World Trade Organization after Airbus lost the last of its appeals before the WTO. The international agency authorized the US to levy tariffs up to 100% of Airbus airplane values imported into the US from Europe.
Airplanes assembled at Airbus’ US Mobile (AL) site are exempt.
The levy increases to 15% this month.
Information obtained by LNA shows that in addition to the $22.1m levied from mid-October through Dec. 31 last year, the US collected another $11.8m on imported Airbus airplanes in January.
February data was not yet available.
US operators took delivery of nine A320 aircraft for the partial tariff year.
There were 16 A321s delivered to US operators, for a total of 25.
The Mobile FAL was producing at the rate of 5/mo, or about 13 family members. This leaves 12 imports to be taxed. The average tax computes to $1.84m per airplane.
US content is typically exempt from taxation.
There were three A220s imported from Canada, but these are not taxed.
The production rate increased to 6/mo in January.