U.S Aircraft Deliveries Halted By Pilatus Aircraft As United States tariffs take grip, some airframers are having to reconsider how they conduct specific business. Pilatus Aircraft is one of those companies and as a reconsideration, the airframer has decided to halt delivery of aircraft to the United States as a temporary measure. This naturally affects their turboprop single, the PC-12 and their versatile executive jet, the PC-24 as there is now a 39% tariff on Swiss imports.
"The new trade tariff imposed by the U.S. authorities puts Pilatus at a significant competitive disadvantage. In the short term, the tariff will lead to a temporary halt in PC-12 and PC-24 deliveries to the U.S. Existing relationships with our U.S. customers and provision of services will continue seamlessly and in full." They suggest that "For goods with a U.S. component of at least 20%, the additional tariff is applied only to the value excluding the U.S. component," it added. One would assume that this perhaps might exclude some of the placement of tariffs on the aforementioned PC-12 and PC-24. These aircraft have avionics made by U.S. based manufacturers like Honeywell and Garmin. Williams International have powerplants on the PC-24.
Although Pilatus has invested in its United States operations, the U.S is not the core of its business, even though it is important. According to Pilatus, "The company’s solid financial base combined with adequate liquidity, high demand worldwide, good capacity utilization, and orders in hand worth around 2 billion Swiss francs—not including the USA—provide a robust foundation in challenging times. Government Aviation is another strategically important area: this business segment with the PC-21 and PC-7 MKX trainer aircraft offers considerable potential and makes a vital contribution to the company’s stability in the current situation." For more information: Pilatus Aircraft Ltd Stans, Switzerland www.pilatus-aircraft.com ***
