American Airlines Group Inc. doesn’t plan on paying more for new aircraft due to tariffs, joining Delta Air Lines Inc. in shunning possible levies under Trump administration policies.
“This is not something we would intend to absorb,” Chief Executive Officer Robert Isom said on a quarterly conference call Thursday. “Aircraft cost too much already and I don’t want to pay any more.”
Isom said American will work with the White House on a possible solution, hoping for tariff relief before it begins to receive new Airbus SE planes toward the end of the year that are built in Europe. He noted wistfully a previous US policy of no tariffs on imports or exports for civil aviation — including aircraft, engines and other parts — had worked well for the industry since 1979.
Delta also is refusing to pay tariffs and has been “very clear” with Airbus that it will defer any deliveries with the additional expenses.