Boeing is the kind of manufacturer — one that exports billions of dollars of goods — that President Donald Trump says he wants to protect and nurture.
But his tariffs could have the opposite effect on the company’s suppliers.
Trump has imposed a few tariffs so far, but he says more are coming in just a few weeks. That threat has unnerved the aerospace industry, of which Boeing is one of the largest companies. Duties on aluminum and steel, two of the most important raw materials used in aircraft, are expected to raise manufacturing costs. But the industry is far more concerned by tariffs that take effect on goods from Canada and Mexico next month, which could disrupt the highly integrated North American supply chain.
“These tariffs are particularly fraught for an industry like aerospace that has been duty-free for decades,” said Bruce Hirsh, a trade policy expert at Capitol Counsel, a lobbying firm in Washington, which has aerospace clients. “Parts are coming from everywhere.”
Aerospace experts say the industry is an example of U.S. manufacturing prowess. It offers well-paying jobs and has produced one of the largest trade surpluses of any industry for years. Aerospace is expected to export about $125 billion this year, according to IBISWorld, second only to oil and gas.