Former FAA Official Highlights Tariff-Free Aerospace Trade's US Economic Impact

The US commercial aerospace system's indispensability and vulnerability were starkly highlighted by the recent government shutdown, which strained air traffic control (ATC) operations and caused widespread delays. While US Transportation Secretary Sean Duffy prioritizes ATC modernization to address outdated infrastructure and staffing shortages, the aerospace manufacturing base remains equally critical. This sector supports over 2.2 million American jobs, generates wages 56 percent higher than the national average, contributes 1.5 percent to US GDP, and delivers an annual $74 billion trade surplus, making it a vital component of the nation's economic strength.

This robust manufacturing base has been sustained by a tariff-free environment for commercial aircraft and parts, a framework maintained by the United States and its trading partners since 1980. This policy has firmly anchored aircraft manufacturing within the US while enabling American companies to dominate the global market. Recent bilateral agreements with the European Union, Japan, the United Kingdom, Switzerland, and South Korea further reaffirm this long-standing approach, safeguarding millions of US jobs and enhancing American competitiveness abroad.

Former acting administrator of the US Federal Aviation Administration (FAA), Daniel Elwell, emphasizes that tariff-free trade is a strategic advantage, not a concession. He argues that imposing tariffs would increase costs for airlines and travelers, disrupt supply chains, and undermine exports that support skilled workers, particularly in an industry requiring long-term predictability. Elwell urges policymakers, including President Donald Trump, to secure this stable policy environment alongside ATC modernization, ensuring US leadership in aviation for the next 40 years by rewarding American productivity and maintaining a resilient aviation system and strong manufacturing base.