Commerce Launches New Section 232 Investigation into Aircraft, Engines

Late this afternoon, the U.S. Department of Commerce released notice that it has initiated a new investigation under Section 232 of the Trade Expansion Act of 1962 (Section 232) into imports of commercial aircraft and jet engines, and parts for commercial aircraft and jet engines. This announcement comes just a day after the European Union (EU) proposed potential retaliatory tariffs on U.S. aircraft. Interested parties are invited to submit comments by June 3, 2025.

Scope and Request for Comments

Unlike other recently initiated Section 232 investigations, the proceeding unveiled today makes no mention any “derivative articles,” instead focusing on a named list of “commercial aircraft and jet engines, and parts for commercial aircraft and jet engines.”

Interestingly, this new Section 232 aircraft investigation appears to have been behind the reference to ensuring “preferential access to high-quality UK aerospace components” to “secure{} the supply chain of U.S. aerospace manufacturers” in the White House Fact Sheet on yesterday’s US-UK Economic Prosperity Deal (EPD) announcement. The associated “General Terms” document states an intention to obtain “significantly preferential outcome{s}” for the UK on “other sectors that may be subject to Section 232 investigations,” subject to the UK’s adoption of certain supply chain security measures. That open-ended formulation would appear to encompass the Section 232 aircraft investigation.

Commerce’s request for comments echoes its requests in other recently initiated Section 232 investigations into medium- and heavy-duty trucks, semiconductors, and pharmaceutical products. The topics highlighted for comment include:

1. Current and projected U.S. demand;
2. S. production capacity and the feasibility of increasing U.S. capacity;
3. The role of foreign supply chains, particularly of major exporters, in meeting U.S. demand;
4. The concentration of U.S. imports from a small number of suppliers and the associated risks;
5. The impact of foreign government subsidies and predatory trade practices on U.S. commercial aircraft and jet engine parts industry competitiveness;
6. The economic impact of suppressed prices due to unfair foreign trade practices and state-sponsored overproduction;
7. The potential for export restrictions by foreign nations, including the ability of foreign nations to weaponize their control over supplies of commercial aircraft, jet engines, and associated parts; and
8. The impact of current trade policies on domestic production, and whether additional measures, including tariffs or quotas, are necessary to protect national security.

As in other recent Section 232 investigations, commenters are invited to comment upon other relevant factors as well. In particular, commenters might choose to address the structure of any potential remedy or tariff and how it might be tailored to the complex realities of U.S. aircraft supply chains.

Potential Timeline

Commerce’s notice states that this investigation was initiated on May 1, 2025, technically before the EU announcement. The statute therefore provides Commerce until January 26, 2026, to conclude its investigation and transmit a report to the President. Commerce may, however, decide to move faster, and its relatively short public comment period suggests an intention to do so.

Once Commerce’s report has been transmitted, the President has up to 90 days to determine whether imported products subject this investigation threaten to impair U.S. national security and determine a response, as well as a further 15 days to implement any such actions. Again, however, the President may determine to move more quickly.

Section 232 actions under the second Trump Administration have thus far resulted in 25% tariffs on steel and steel derivative products, aluminum and aluminum derivative products, and automobiles and automobile parts. There is no guarantee that the new investigation will have a comparable outcome, but past actions provide some indication of the level of tariff treatment that the President views as necessary to address imports in the Section 232 context. That said, there is no statutory requirement that the President impose any tariffs in response to a Section 232 report.

Preparing Supply Chains

Cassidy Levy Kent’s attorneys, economists, compliance experts, and licensed customs brokers are ready to help companies develop strategic responses to the latest changes in U.S. tariff policy and plan for potential developments. Cassidy Levy Kent has extensive experience counseling clients to plan compliant supply chains that manage tariff risks, and we routinely assist with preparing and filing comments for consideration in Section 232 investigations. Our team’s deep familiarity with trade law and policy enables clients to adapt and stay ahead of the curve.