Shares of Canadian aircraft maker Bombardier Inc. tumbled sharply Friday as escalating trade tensions between the United States and Canada rattled global markets and raised fresh questions about the aerospace company’s outlook.
Bombardier’s stock dropped roughly 9% in early trading after U.S. President Donald Trump threatened to decertify Canadian-built aircraft and impose a 50 percent tariff on Canadian jets sold in the United States, according to market data and statements from financial sources.
Trump’s comments, made in a social media post and amplified by U.S. officials, were tied to a dispute over aircraft certification with Ottawa. Trump accused Canadian regulators of unfairly blocking approval of certain business jets made by the U.S.-based Gulfstream Aerospace and warned that Canada’s refusal could prompt punitive action against all Canadian-built aircraft, including Bombardier’s Global Express business jets.
A White House official later said the comments were not intended to ground planes already in service, but investors reacted quickly, sending Bombardier’s share price lower and contributing to broader market pressure on Canada’s main stock index.
“If, for any reason, this situation is not immediately corrected, I am going to charge Canada a 50% Tariff on any and all aircraft sold into the United States of America,” U.S. President Donald Trump said.
Bombardier, headquartered in Montreal, said it is in talks with Canadian officials to address the evolving trade situation. The company did not immediately offer a detailed public response beyond acknowledging discussions with Ottawa.
The aerospace sector has so far largely avoided major tariffs under the United States–Mexico–Canada Agreement (USMCA), which governs much of North American trade, but Friday’s events highlight how swiftly geopolitical tensions can upend that stability.
Bombardier’s business jet lines have been key profit drivers in recent years, drawing customers from around the world. Any threat to access the U.S. market — the largest for business aircraft — is likely to draw heightened scrutiny from corporate buyers and financiers, analysts said.
The stock’s afternoon performance will be closely watched as traders evaluate whether Friday’s drop signals a short-term reaction or the start of a deeper pullback.
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