Regulations and Government
Tariff Strife and Military Conflict Vex Industry Leaders
U.S. policy reset could prompt aerospace and defense sector realignment
Paris Air Show 2025
© David McIntosh/AIN

Escalating military conflicts, NATO’s future in flux, and aerospace and defense companies absorbing the impact of U.S. tariffs compose a backdrop to what could be the most consequential Paris Air Show in years. The fallout from these vexatious issues seems set to reshape industry alliances and market expectations for aircraft and equipment sales.

But geopolitics will not eclipse the prominent profile of cutting-edge technology this week during the 55th biennial salon at Le Bourget. In the absence of major new airliners or military aircraft, electric aircraft will provide much of the novelty, and industry leaders will debate the growing role of artificial intelligence, future propulsion systems, autonomy, and the interminable struggle to fix stubborn supply-chain weaknesses.