U.S. will Set Aircraft Parts Tariffs by Month-End, Says Lutnick

Commerce Secretary has said that the U.S. will perform an analysis on aircraft parts and then set appropriate tariff rates by the end of June.

“We’re going to discuss it with the president,” said Lutnick at a Senate Appropriations Committee hearing on Wednesday. “We’ll discuss the analysis and we’ll take due consideration on what to do.”

U.S. Appears to Drift Toward Specific Tariffs

It seems that the Trump administration is now focusing on tariffs for specific parts and resources. Today, the U.S. doubled its tariff on steel and aluminum imports to 50% from 25%.

If tariffs on aircraft parts are enacted, it would likely benefit Boeing (BA) given the company’s significant manufacturing operations and footprint in the U.S. BA stock is up by about 20% year-to-date as the U.S. embraces domestic production.