By Alison Sider
American Airlines really doesn't want to pay tariffs on new planes.
"I don't want to pay any more for aircraft. It doesn't make sense," American CEO Robert Isom said Thursday.
American is expecting European-built planes to be delivered at the end of the year that could potentially be subject to the levies. "Certainly, this is not something we would intend to absorb," Isom said, echoing similar objections from Delta Air Lines CEO Ed Bastian.
The Trump administration's new tariffs are ending exemptions that allowed Boeing, Airbus and other aerospace manufacturers to build aircraft and jet engines largely without tariffs since the 1980s.
Boeing is already facing tariff blowback. Chinese airlines have sent Boeing planes that were in China awaiting final delivery back to the U.S. rather than pay tariffs.
The industry is pushing to keep exceptions in place. Isom argued Thursday that the current regime has made the U.S. into an aviation exporting powerhouse.
"There's good reason to do something in regard to aviation," he said, adding that he anticipates working with the administration on the issue.
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(END) Dow Jones Newswires
April 24, 2025 12:20 ET (16:20 GMT)
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