US Transport Secretary Wants Zero Tariffs On Aviation

United States Transportation Secretary Sean Duffy urges the US to return to the zero-tariff policy that civil aviation has enjoyed for several decades, highlighting the benefits that free trade has offered the aerospace industry.

However, Duffy notes that the current tariffs are part of broader trade talks. The tariffs imposed by the Trump administration this year have already impacted aircraft deliveries to the US for companies like Airbus and Embraer, with many aviation stakeholders urging the US government not to impose new tariffs.

Free Trade For The Civil Aviation Sector

As reported by Reuters, the Transportation Secretary said that he wanted civil aviation to return to a 1979 zero-tariff agreement, one of the clearest signs yet that the US government may favor such a move. His comments raised hopes of a return to tariff-free trade.

Duffy said the White House was aware the United States is a net exporter in aerospace, but was also dealing with a complex tariff situation. Airlines, manufacturers, and several other aviation companies and trade partners have been lobbying Trump to restore the free-tariff regime as per the 1979 Civil Aircraft Agreement.

Speaking at the 2025 Paris Air Show, Sean Duffy said,

“You look at what free trade has done for aviation. It's been remarkable for them. It's a great space of net exporters. And so the White House understands that, but if you go over there, and you see the moving parts of what they're dealing with, it is pretty intense and it's a lot. I think we should take aviation off the negotiating table by going back to '79, and that only helps us. And to take some tools away from our trading partners would be beneficial to us.”

Impact Of Tariffs On Civil Aviation

While some of the steepest tariffs imposed by the US in April have been temporarily cut, the 10% tariffs on nearly all commercial aircraft and parts imports remain in place. Last month, the Department of Commerce also launched a “Section 232” national security investigation into aircraft, jet engines, and parts imported into the US that could form the basis for even higher tariffs.

The policies have already affected manufacturers and operators across the US and beyond. In May, Alaska Airlines delayed the delivery of two Embraer jets to avoid facing additional costs on aircraft imports. The aircraft were ready for delivery from Brazil and would be operated by Alaska Air subsidiary Horizon Air. The delay has forced the airline to revise its summer schedules.

Airlines have also been left to find creative solutions to receive new aircraft. Delta Air Lines recently flew a new Airbus A350 from Toulouse to Tokyo and put it in service before flying it to the US to avoid paying tariffs on aircraft imports. Many carriers have strongly stated that they will not accept additional costs imposed by tariffs throughout the supply chain.

Zero Tariffs For the UK Aerospace Sector

Meanwhile, the US has signed a trade deal with the UK, removing tariffs completely for the UK aerospace sector. Tariffs will be reduced on UK aerospace goods like engines and other aircraft parts from the general 10% tariff being applied to all other countries.

The new deal will benefit companies like Rolls-Royce, which manufactures engines for many Airbus and Boeing jets, like the flagship A350 and 787. The deal will come into effect by the end of the month, saving aircraft and car manufacturers hundreds of millions per year. The US’s GE Aerospace also recognizes the significance of the trade deal, saying it will help in preserving a duty-free environment.

Duffy’s comments at the Paris Air Show came amid hundreds of orders for Airbus aircraft. On June 18, Taiwan's Starlux ordered 10 additional A350-1000s, while Egyptair disclosed an order for an additional six A350-900s. On June 17, Vietnam’s Vietjet signed an MoU with Airbus for an order of 100 A321neos, with options for 50 more. Throughout the week, Airbus has also received orders from Saudi Arabia’s Riyadh Air and AviLease, as well as Japan’s ANA Holdings.