Trump Drops Threat to Restrict Bombardier Sales in U.S. After Kansas Rally
U.S. President Donald Trump reversed his earlier threats to ban Bombardier jet sales in the United States during a campaign rally in Kansas, citing the company's local employment footprint and a lobbying call from Senator Roger Marshall. Bombardier shares rose approximately 4.5% following the announcement.
U.S. President Donald Trump withdrew his previous threats to restrict Bombardier Inc. from doing business in the United States during a campaign rally in Kansas on Monday night, stating he would not act against the company because of its presence in the state. 
Trump credited a phone call from Republican Senator Roger Marshall for changing his mind regarding the Canadian aerospace manufacturer. The reversal follows months of trade tensions between the U.S. and Canada, including the collapse of bilateral negotiations in August and the implementation of Canadian retaliatory tariffs on September 8.
In September, Trump had threatened to ban Bombardier jet sales in the U.S., calling their products "not good enough" and demanding the company build its aircraft in America. Earlier in January, he had also threatened to decertify Canadian jets and impose a 50% tariff rate.
Bombardier employs approximately 1,500 workers in Wichita, Kansas, which serves as the home base for its defence division and U.S. headquarters. Across the country, the company employs about 3,500 American workers in more than 20 states and works with 2,800 U.S. suppliers, making annual payments of US$2.5 billion to them. U.S. content accounts for at least 40% of Bombardier planes.
The company recently announced a US$50-million investment in Wichita, which includes a new learning centre for aircraft technicians. 
Following Trump's comments at the rally, Bombardier shares rose approximately 4.5% on Tuesday, closing at $325.32 US. Market observers noted that the reversal removes regulatory uncertainty and alleviates headline overhang for investors, providing relief for the aerospace sector after recent trade war escalation and preserving jobs in Kansas and other U.S. states.
The White House declined to comment on the specific policy change on Tuesday, referring questions to Trump's television interview.