Published by Global Banking & Finance Review®
Posted on July 16, 2025
1 min readLast updated: January 22, 2026
Airlines may delay aircraft deliveries due to US tariff uncertainties, affecting Boeing, Airbus, and Embraer, with potential order cancellations.
SINGAPORE (Reuters) -Airlines may be reluctant to take delivery of aircraft due to the ongoing uncertainty around U.S. tariffs and their impact on the cost of the planes, International Air Transport Association Director-General Willie Walsh said on Wednesday.
"It's not just going to be a major Boeing and Airbus issue. It'll impact all aspects of the aerospace industry and have an impact on most, if not all, airlines as well," he said.
Walsh was speaking at a media roundtable in Singapore.
The 50% tariff that U.S. President Donald Trump plans to impose on Brazilian exports starting in August could hammer the revenue of planemaker Embraer like the COVID-19 pandemic did, its CEO warned on Tuesday, flagging risks to U.S. partners.
Francisco Gomes Neto told reporters the tariffs would amount to a trade embargo on the regional jets it supplies to U.S. airlines and could trigger order cancellations, deferred deliveries and tough consequences for Embraer's U.S. suppliers.
(Reporting by Jun Yuan Yong; Editing by Muralikumar Anantharaman and Sonali Paul)
Airlines may be reluctant to take delivery of aircraft due to the ongoing uncertainty around U.S. tariffs and their impact on the cost of the planes.
The tariffs could affect all aspects of the aerospace industry and impact most airlines, not just major manufacturers like Boeing and Airbus.
Embraer's CEO warned that the 50% tariff on Brazilian exports could act as a trade embargo on regional jets supplied to U.S. airlines, potentially leading to order cancellations and deferred deliveries.
The 50% tariff that U.S. President Donald Trump plans to impose on Brazilian exports is set to start in August.
The media roundtable where these comments were made took place in Singapore.
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