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Embraer warns US carriers could pay $9 million per jet from tariffs

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Embraer warns US carriers could pay $9 million per jet from tariffs

Brazilian aircraft manufacturer Embraer has warned that tariffs threatened by US President Donald Trump on imports from Brazil could lead to US airlines paying an additional $9 million per jet, the company said last week to various news outlets.

Trump had threatened to impose 50% tariffs on Brazilian goods. 

The company's CEO Francisco Gomes Neto reportedly said aircraft shipments to US airlines would be unfeasible and could lead to order cancellations and deferred deliveries. The US is a key market for Embraer's E175 jet, which has proven popular with regional carriers, particularly as the jet fits into the US scope clause. 

The CEO also reportedly said tariffs could result in a delay in Embraer purchasing up to $20bn worth of US-made parts and equipment through to the end of the decade.