Canadian regulators have granted approval to Gulfstream’s newest business aircraft, following a recent threat by U.S. President Donald Trump to impose tariffs due to the planes’ status in Canada. Transport Canada officially certified Gulfstream’s G700 and G800 jets on Monday, just eight days after approving two older Gulfstream models.
Trump had previously threatened to decertify and impose tariffs on all Canadian-made planes unless the government authorized the four Gulfstream luxury aircraft. Despite concerns raised by the U.S. Federal Aviation Administration (FAA) regarding de-icing issues, Transport Canada’s approval was given.
Gulfstream, a subsidiary of General Dynamics, has been granted until the end of this year by the FAA to demonstrate that the G700 and G800 models can function properly in conditions where ice may form in the fuel system. Experts questioned Trump’s authority to decertify planes, as this responsibility typically lies with the FAA and not the presidential office.
Historically, aircraft groundings by regulators have been focused on safety concerns, such as the grounding of the Boeing 737 Max 8 following fatal crashes. The recent certification of the Gulfstream jets by Transport Canada has occurred amidst ongoing trade tensions between the U.S. and Canada.
Bombardier and Gulfstream are direct competitors, with the Global series vying for market share against Gulfstream’s latest offerings. Any negative impact on Bombardier could also affect American companies, given Bombardier’s significant presence in the U.S. market.
It is worth noting that Canada has a substantial trade surplus with the U.S. in the aerospace sector, which differs from the trade imbalances cited by Trump in other industries. Canadian aircraft production includes various models from Bombardier, Airbus, and Bell Textron, with a notable portion of U.S. content in Bombardier’s jets.