DALLAS — The United States Department of Commerce (DOC) has initiated a national security investigation into imports of commercial aircraft, jet engines, and related parts. The probe falls under Section 232 of the Trade Expansion Act of 1962, which authorizes adjustments to imports if they threaten national security. 

This proceeding takes an important turn as the government examines the vulnerability of critical aerospace supply chains and their impact on national security interests. The investigation will assess whether the United States has become excessively dependent on foreign sources for these essential components.

The Bureau of Industry and Security (BIS) is inviting public comments on ten key criteria affecting national security considerations. These include current and projected domestic demand, the capacity of domestic production to meet it, and the role of foreign supply chains in the U.S. market. 

The investigation will also analyze the concentration of imports from a limited number of suppliers and the associated risks to American aerospace capabilities. The comment period is relatively short, with submissions due 21 days after the Federal Register publication date.

Areas of Concern

The notice explicitly highlights concerns about foreign government subsidies and predatory trade practices impacting U.S. competitiveness. Officials are examining how artificially suppressed prices from possible foreign unfair trade practices and state-sponsored overproduction might be undermining domestic aerospace manufacturing capabilities. 

Another major security concern is the potential for export restrictions by foreign nations, including the possibility of weaponizing control over critical aerospace components. These factors could potentially compromise commercial aviation and the adjacent defense industrial base capabilities in the United States.

Such an investigation will evaluate the feasibility of increasing domestic production capacity to reduce import reliance. Current trade policies will be assessed to determine whether additional measures, including tariffs or quotas, are necessary to protect national security interests. The scope of this investigation reflects growing concerns about strategic industrial capabilities amidst intensifying global competition in aerospace technology.

Industry Context

According to Reuters, most imported aircraft and components from around the world currently face 10% tariffs, while industry leaders have been lobbying to restore the tariff-free regime under the 1979 Civil Aircraft Agreement. This investigation comes shortly after the U.S. reached a deal with the United Kingdom allowing British-made Rolls-Royce engines to enter the U.S. duty-free, as announced by Commerce Secretary Howard Lutnick. 

The aerospace sector has unique considerations compared to other industries. The Aerospace Industries Association notes the need to "strengthen our domestic supply chain while also maintaining the trade framework that has enabled our global leadership in aerospace."

The investigation occurs against a backdrop of U.S.-assembled aircraft not being immune from tariff impacts, as aircraft manufacturers must pay levies on imported parts. According to the Reuters report, Boeing is reportedly paying 10% duty on supplies from Italy and Japan. 

Aerospace industry officials emphasizethat their situation differs from other sectors, as they export more than $135 billion of products annually and produce the highest trade balance of any U.S. industry. This probe follows a similar investigation launched last month into the national security impact of imported medium-duty and heavy-duty trucks and related parts.