POST Online Media Lite Edition


Canada: We play by rules in Bombardier case

Staff Writer |
Canada insisted that it plays by international trade rules after Brazil said it may challenge government funding to Bombardier.

Article continues below

Bombardier is locked in competition with Brazil's Embraer for narrowbody jet sales. Brazil has said that government financing gives Bombardier an unfair advantage.

Brazilian Foreign Minister Jose Serra told Reuters it could move against Canada at the World Trade Organization (WTO) over $1 billion in funding that Bombardier received from the Canadian province of Quebec for its CSeries jet.

Canadian Prime Minister Justin Trudeau brushed off the suggestion, telling reporters "there is no country in the world that doesn't heavily subsidize its aerospace sector."

"I can understand that our competitors are rightly worried about how great the CSeries plane is," he said in Calgary.

The Brazilian minister responded in a statement that Trudeau's comments were revealing.

"It's telling that the Canadian Prime Minister admits the Canadian government heavily subsidizes Bombardier," Serra said.

What to read next

Britain: Boeing UK contracts jeopardised after Bombardier decision
Canada gives $372.5m to Bombardier, Brazil takes it to WTO
Trudeau and May vow cooperation for smooth post-Brexit trade