Kerry Lynch stepped into the role of editor of the&nbsp;Aviation International News&nbsp;monthly magazine in May 2022 after serving with&nbsp;AIN&nbsp;for eight years. She joined&nbsp;AIN&nbsp;in December 2014 as a senior editor covering Washington and business aviation news. She has also served on Convention News teams, including as editor of&nbsp;HAI Convention News. Lynch previously spent 25 years with Aviation Week. During her time there, she reported for and later steered&nbsp;The Weekly of Business Aviation, oversaw business aviation content on the&nbsp;Aviation Week Intelligence Network, served on the&nbsp;Show News&nbsp;staff, and held roles as the Washington columnist for&nbsp;Business &amp; Commercial Aviation&nbsp;and&nbsp;Overhaul &amp; Maintenance&nbsp;monthly magazines. In 2021 she was honored with the National Business Aviation Association Platinum Wing Award for lifetime achievement in journalism and was the 2004 recipient of the National Air Transportation Association’s Aviation Journalism Excellence Award. She also has been a recipient of an Aerospace Media Award for business aviation (2022) and NBAA Gold Wing Award (2003, 2024). Lynch graduated from The Ohio State University with a bachelor of arts in journalism.

Editor, AIN monthly magazine

Kerry Lynch

The business aviation community continues to try to absorb the ramifications of the White House’s rollout of global tariffs, but leaders are warning aircraft owners and operators to obtain expert advice on the applicability before they conduct a transaction or upgrade their aircraft. They also warn to be aware that the tariffs likely will have a broader economic impact, which in turn could affect aircraft valuations.
Using the International Emergency Economic Powers Act of 1977, President Trump on Wednesday rolled out global tariffs, announcing a baseline of 10% worldwide and, for imports from many countries, “reciprocal” tariffs that could become up to 50% higher. The 10% tariffs take effect on April 5, while the higher amounts start April 9. Most EU members, key markets in aerospace trade, are facing 20% additional tariffs, China 34%, and Switzerland 31%. Brazil remains at 10%.
The announcement did not change the tariffs already assigned for imports from Canada and Mexico, and the exemptions under the United States-Mexico-Canada Agreement (USMCA)—including aircraft and certain components—remain in place for those countries.&nbsp;
Speaking during an NBAA webinar yesterday, Jonathan Epstein, partner at Holland &amp; Knight and member of the NBAA regulatory issues advisory group, noted that aviation has been largely duty free since 1979 under the World Trade Organization’s agreement on trade and civil aircraft but said the tariffs are now less clear for aircraft and parts from countries outside of Canada and Mexico, as well as parts that do not qualify for the USMCA. “We’re going from years of sort of stability to the only thing we know now is the change [and] there’s going to be potentially more change.”
Adding layers of complexity, there are numerous murky areas with the tariffs, such as accounting for the percentage of U.S. material in an import. For instance, the tariff would only be assigned to the portion of an aircraft that was French or Swiss-built and not components that might come from the U.S.
Also, there is a “transformed” component, so if a green aircraft is sent out of the U.S. for a completion or an in-service aircraft for an upgrade, then that work may be subject to tariffs. Making it even more complicated is how to assess a tariff on aircraft that are produced overseas and then sent to the U.S. for either assembly or completion for delivery. Epstein said these aircraft are “substantially transformed,” so the tariffs may not apply or may not fully apply.
But tariffs will matter for the import of aircraft in the used market, as well. They are not expected to cover the sale of fuel.
NBAA hosted the webinar to answer some of the numerous questions swirling around about what the tariffs mean for business aviation. NBAA senior v-p of government affairs Kristie Greco Johnson, who moderated the panel, opened by cautioning that the webinar was just a preliminary assessment and the industry is awaiting more specific guidance. “There’s quite a few uncertainties that still exist,” she said, encouraging operators to seek legal counsel separately for specific questions.
Greta Peisch, partner with Wiley Law and former general counsel for the Office of the United States Trade Representative, noted that the tariffs were “a long time coming,” with Trump discussing them for decades and certainly during his campaign. She noted different messages surrounding them, including raising revenue, addressing the trade deficit, and creating negotiating leverage.
“There’s a lot of things going on and a lot of competing interests that the administration is trying to achieve here, which has led to some of the complexity of the tariff action,” Peisch noted.
On the leverage front, the White House has built in flexibility to adjust the tariffs based on negotiations with other countries, and that has already started to take place, she added. “It does seem as if this is a jumping off point to have those conversations. Now, how fast those go, it’s a big question,” Peisch said.
Peter Greenberg, the international affairs director for the International Association of Machinists and Aerospace Workers, discussed the “high level of anxiety” that came ahead of the announcement, which has only been heightened since.
He noted that there was already a temporary shutdown of an auto plant in Windsor, Ontario, which is going to impact more than 3,000 workers. “So that has ripple effects even though obviously separate industries have separate tariff regimes,” Greenberg said.
In aerospace, the tariffs could affect U.S. companies and their customer base around the world, leading to layoffs, he further cautioned. “The Canadian labor movement has been generally aghast. Many of the workers work for multinational companies that cross the border, and really have requested our support,” he added.
Meanwhile, Ehsan Monfared, a partner with YYZlaw and member of NBAA’s regulatory issues advisory group and tax committee, agreed that the macroeconomic effects will matter.
“We're seeing more concerns from a macroeconomic level by our clients who are buying or selling aircraft over the last couple of months,” Monfared said. “Many buyers and sellers accelerate the process to complete the importation process into the U.S., and as much as possible, we’ve been negotiating in terms into the purchase agreements to deal with all the uncertainty [of] these rolling announcements and exceptions that have been made.”
Pointing to the roils in the stock market and a drop in consumer spending that comes with uncertainty, he said, “the likelihood that the cost of just basic goods for consumers goes up. That will put a broader damper on consumer spending, and that’s always been a key thing that was a leading factor in terms of clients making decisions to invest in business aircraft. I think that’s the biggest concern that we have.”
He further noted that the U.S. aerospace industry has been a net exporter. “It's been a massive success, with the likes of Boeing, and this puts that all into threat both in terms of those specific industries as well as the underlying consumer sentiment which drives them.”
JetAviva CEO Emily Deaton noted that the tariffs have been “a very hot topic of conversation” for those in an ongoing transaction. While some may have worked to accelerate deals, others have questioned whether they should “press pause,” Deaton said, “which is what no one who works in an aircraft sales environment really wants to hear.”
The situation is difficult to absorb, she added. “It’s a complicated topic, it’s hard to understand, and it’s very case-by-case specific.”
Further, Deaton agreed that the uncertainty can affect the stock market, which affects wealth and, in turn, movement in the marketplace. Further complicating things are potential factors such as the return of bonus depreciation or interest rates coming down.
“It’s just a lot for people to process and typically, in these kinds of environments, it takes a little while to settle out before we can get a true read on the market and what it’s going to mean moving forward.”
This makes it more important that people rely on experts and don’t go at it alone, particularly in the current government. She also cautioned that all of this could affect aircraft values.

News and developments about airplanes, helicopters and unmanned air vehicles used in all varieties of operations, including airlines, military, business, commercial, general aviation and private.

Business Aviation Industry Grapples with Ramifications of Global Tariffs

Aircraft from Canada appear to be exempt; not so in most other areas

Tariffs are bringing layers of complexity and uncertainty to the business aviation market, leaders warn.

Bizav Industry Grapples with Ramifications of Global Tariffs

2024 Corporate Aviation Leadership Summit

Chad Trautvetter

News about environmental issues relating to aircraft operations, including noise issues, emissisions, and regulations. See Fuel for biofuel.

News and issues relating to business, corporate and private aviation, primarily regarding turbine-engine-powered airplanes and helicopters. Subjects include aircraft, engines, maintenance, operations, personnel, acquisitions, accidents, safety, security, and training.

Company’s next model will likely be hybrid-electric and based off of the TBM 960 or Kodiak 100/900

Daher Aims To Launch ‘More Electric’ Airplane in 2027

Curt Epstein

OEM saw a 28% increase from a year ago

Embraer First-quarter Bizjet Deliveries Rise from 2024

Hanneke Weitering

Tennessee Tech students will ground-test the ‘Whisper Ultralight’ powered glider

Whisper Aero and Tennessee Tech Team on Quiet Electric Glider

Matt Thurber

Issues regarding financing of aircraft; aviation insurance; tax issues for aircraft operators; new companies and people in the aviation financing and insurance industries.

News about bills, laws, regulations and other governmental decisions affecting aviation and aerospace. Topics include FAA re-authorizations, taxes on fuel and aviation activities, environmental legislation, ICAO decisions, governmental mediation of labor conflicts and World Trade Organization disputes and decisions.

News and issues relating to international air transport and cargo carriers, national airlines and regional airlines, including aircraft, engines, personnel, acquisitions, accidents, safety, security and training.

Companies participating in McKinsey's annual summit meeting are optimistic but say commercialization is still a few years away

Regional Air Mobility Summit Addresses Rebooting Local Air Transportation

App has a cleaner and more streamlined user interface

Cirrus Aircraft Revamps IQ App, Adds Pro Subscription

Added features include PlaneSync and LED exterior lighting

Daher Upgrades Kodiaks, Sees Higher Deliveries for 2025

Variant includes more than 25 new features and eight new paint schemes

Epic Unveils E1000 AX with Garmin Autothrottle and Autoland

Amy Wilder

News and issues concerning general aviation, specifically airplanes and helicopters powered by piston and alternative engines (i.e., non-turbine powered aircraft). Subjects include aircraft, engines, personnel, acquisitions, accidents, safety, security and training.

More In Aircraft